Key Changes To The Family Law Act - June 2025

Family Law Is Changing: What You Need to Know

Changes are coming to family law in Australia, in regards to property and financial matters.

From 10 June 2025, important amendments to the Family Law Act 1975 (Cth) will affect how property and financial matters are handled after separation. These updates apply to all separating couples whether you’re working things out privately or going through the family law courts.

Here’s a simple breakdown of what’s changing and what it could mean for you.

A Clearer Process for Decisions about Property Division after Separation

One of the biggest updates is that the Court’s considerations when when dividing property is now clearly set out in the Family Law Act. That makes the law more easily understood and explained.

The Family Law Act now sets out the four-step process that is followed in decisions about property division following separation:

1. Identify the assets and liabilities, and their value.

This includes everything owned or owed by both parties.

2. Assess the contributions by both parties, including:

Financial contributions (e.g., income, savings, property brought into the relationship)
Non-financial contributions (e.g., renovations, unpaid work in a family business)
Contributions to the welfare of the family (e.g., raising children, homemaking)

3. Consider current and future circumstances, such as:

Earning capacity
Ongoing care of children
Health concerns with financial implications

4. Decide what’s “just and equitable”

This step considers any other matters that may affect the Orders that the court should make.

Family Violence Taken Into Account

The Court’s consideration of the economic impact of family violence—including financial abuse- is clearly identified in the Family Law Act.

The Court can consider:

How family violence affected one party’s ability to earn or contribute
Ongoing costs related to the violence (e.g., counselling, medical care)
The impact of restrictions placed on a person’s financial independence during the relationship

What About Pets?

Another notable update: the Family Law Act now includes specific provisions about dealing with pets in family separation.

If separating couples can’t agree, the Court can decide who keeps a companion animal.

When making this decision, the Court will look at:

Any history of animal abuse or threats
The emotional connection between the pet and a person (or children)

The Court can’t order shared custody or joint ownership of pets only full responsibility to one party.

Stronger Rules Around Financial Disclosure

It is sometimes said that the Family Court is a court of “show and tell,” not “hide and seek.” Unfortunately, this is not always understood and the failure of some parties to disclose information about their financial circumstances to the other party remains an ongoing problem in family law property matters. This failure to provide disclosure can cause expense and delay to the other party.

The duty to fully disclose financial information is now firmly written into the Family Law Act.

If someone fails to comply, the consequences can be serious. The Court may:

Adjust the final property division in light of the non-compliance
Order the non-compliant party to pay legal costs
Penalise with contempt of court (which can mean fines or imprisonment)
Delay or even dismiss part (or all) of the case

Who Is Affected?

These changes apply to:

All new and ongoing cases—even if filed before 10 June 2025
All separating couples, unless a final hearing has already begun

What’s Staying the Same?

If you already have final property or financial orders, don’t worry—those remain valid and enforceable. Nothing changes unless the orders are varied by agreement or a new court application.