Superannuation division on separation…

Savings under superannuation policies, including KiwiSaver, fall under relationship property pools for division when a relationship ends. However it is only the increase in value of the superannuation policy during the relationship period that is subject to division

In relationship property arguments, one person may have to pay the other spouse or partner half of the difference in value between superannuation policies. For example, if your superannuation increased from $10,000.00 to $50,000.00 at separation and your partners increased from $10,000.00 to $30,000.00 in the same time period, you would most likely be required to pay to your spouse an equalisation of $10,000.00 (being half of the difference between $50,000.00 and $30,000.00 dollars)

When dividing relationship property, people sometimes divide their actual superannuation policy rather than giving up another asset of the relationship. Many superannuation providers need a Court Order to be able to process this. This involves the parties filing a joint application to the Court.

The Court requires proof of agreement so you need to attach a copy of the Relationship Property agreement to your application. If this is a joint application, it can be a very quick process unless the Court believes the terms of the agreement are unfair.

Once the Order has been made, the party whose superannuation is being divided needs to attach the Order to an application form from their superannuation provider and send this to their provider.  Approval usually takes one to four weeks depending on your provider.




Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins, we have an experienced family law team, who can answer your questions and put you on the right track.




Shaun Cousins
Associate