How Are Your Assets Divided When You Get Divorced In Singapore?

When it comes to the division of assets upon the dissolution of the marriage between divorcing parties, the Court will first have to consider which assets are included under the pool of “matrimonial assets”, and second, how these matrimonial assets should be divided upon the completion of the divorce. 

Power Of The Court

If you and your spouse are unable to come to an agreement on the division of your matrimonial assets when you are getting a divorce, these assets will be subjected to the court’s powers to order a division.

Under Section 112(1) of the Women’s Charter, the Court has the power to:

• Order division of matrimonial assets between parties
• Order the sale of any such matrimonial assets
• Order the division of the proceeds of the sale between the parties

What Assets Are Considered Matrimonial Assets In Singapore?

The statutory definition of "Matrimonial Assets" in the Women's Charter is as follows:

S112 (10) Women's Charter:

(a) any asset acquired before the marriage by one party or both parties to the marriage —

• (i) ordinarily used or enjoyed by both parties or one or more of their children while the parties are residing together for shelter or transportation or for household, education, recreational, social or aesthetic purposes; or
• (ii) which has been substantially improved during the marriage by the other party or by both parties to the marriage; and

(b) Any other asset of any nature acquired during the marriage by one party or both parties to the marriage.

Assets that are not included in the pool of matrimonial assets are:

• Assets that have been acquired before the marriage by just one party – unless the other party or both parties have substantially improved it during the marriage;
• Assets that have been acquired before the marriage by just one party – unless the asset was ordinarily used or enjoyed by both parties or one or more of their children for shelter, trasnportation, household, educational, recreational, social or aesthetic purposes; or
• Assets that were acquired by gift or inheritance.

What Is The Timeline For The Division Of Matrimonial Assets In Singapore?

The timeline for when matrimonial assets should be included in the division begins with the date of the solemnisation of the marriage, and usually cuts off on the date the interim judgment is granted.

Therefore, assets that are acquired after the interim judgment has been granted, will usually not be considered as matrimonial assets, and hence will not be subjected to the division by the court.

However, every factual situation is different, and the Family Justice Court has the discretion to decide on different possible cut-off dates for the division of assets.

How Does The Court Decide On The Division Of Matrimonial Assets In Singapore?

Under Section 112 (2) of the Women’s Charter, the Court will order the division in a just and equitable manner, giving regard to the circumstances of the case, and will look into the following:

• (a) the extent of the contributions made by each party in money, property or work towards acquiring, improving or maintaining the matrimonial assets;
• (b) any debt owing or obligation incurred or undertaken by either party for their joint benefit or for the benefit of any child of the marriage;
• (c) the needs of the children (if any) of the marriage;
• (d) the extent of the contributions made by each party to the welfare of the family, including looking after the home or caring for the family or any aged or infirm relative or dependant of either party;
• (e) any agreement between the parties with respect to the ownership and division of the matrimonial assets made in contemplation of divorce;
• (f) any period of rent free occupation or other benefit enjoyed by one party in the matrimonial home to the exclusion of the other party;
• (g) the giving of assistance or support by one party to the other party (whether or not of a material kind), including the giving of assistance or support which aids the other party in the carrying on of his or her occupation or business; and
• (h) the matters referred to in section 114(1) so far as they are relevant.

Duty Of The Divorcing Parties

Both parties have the duty to provide full and frank disclosure throughout the entire process of their divorce, failing which the court may draw adverse inference against the party.

For example, if one party fails to disclose that he/she is in possession of certain financial asset(s), which would have been ordinarily included in the pool of matrimonial assets, the court may draw adverse inference on the failing party by either:

• Adding a specific sum into the matrimonial pool for division; or
• Ordering a higher proportion of known assets to be given to the spouse who did not fail to give full and frank disclosure.

Are CPF Monies Considered As Matrimonial Assets?

CPF funds that were accrued before the marriage will not be treated as part of the pool of matrimonial assets, and therefore not subjected to division. CPF funds accrued during the marriage can be subject to division.

For a more detailed discussion on how CPF funds can be divided during a divorce, click here.

Conclusion

Ultimately, the court has a high degree of power and flexibility in making orders for the division, as long as the division is just and equitable for both parties.

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