When couples separate in New Zealand — especially after a long marriage or de facto relationship — the focus often turns to dividing assets and moving forward financially. Most people know about the 50/50 rule under the Property (Relationships) Act 1976 (PRA), but fewer realise there are two other legal tools that can help address financial unfairness after separation: economic disparity and spousal maintenance.

These tools sound similar, but they serve very different purposes. Let’s break it down.

Scenario: Meet Sarah and James

Sarah and James were in a 12-year de facto relationship and had two children, aged 10 and 8.

At the beginning of their relationship:

• James was earning around $80,000 per year as a junior engineer.

• Sarah had a Science degree and had just started building her teaching career.

When their first child was born, they agreed that Sarah would work part-time and take on the primary caregiving role, while James focused on advancing his engineering career. Over the next decade, James’s income rose significantly — by the time they separated, he was earning $150,000 per year.

Sarah, meanwhile, worked only casually or part-time, earning around $35,000, while managing most of the childcare and household responsibilities.

Together, their combined household income was $185,000 — enough to support the family comfortably. But when James suddenly ended the relationship, Sarah was left struggling to cover basic expenses on her part-time income alone, while continuing to care for the children.

Economic Disparity – Section 15 of the PRA

After the separation:

• James was earning $150,000 per year.

• Sarah was earning $35,000 in a part-time role.

Because Sarah had sacrificed her full-time teaching career to raise the children, her future earning potential was significantly reduced.

Section 15 of the PRA allows one partner to claim a greater share of the relationship property if the division of relationship roles has caused a long-term income disadvantage.

In Sarah’s case, the Court awarded her an additional $50,000 from the relationship property pool to compensate for this career setback.

Spousal Maintenance – Family Proceedings Act 1980

Economic disparity addresses long-term disadvantage. But what about Sarah’s immediate financial needs — like rent, groceries, and school costs — in the months following the separation?

At the time the relationship ended, their household income had been $185,000 per year. After the sudden separation, Sarah was left with only her part-time income of $35,000, and she received a small income-tested benefit to help cover living costs.

However, even with both sources of income, she was unable to meet her reasonable needs — particularly while caring for the children and maintaining a standard of living similar to what the family had during the relationship.

That’s where spousal maintenance comes in.

Spousal maintenance provides short-term financial support to help the lower-earning partner get back on their feet while adjusting to life after separation.

When assessing an application, the Court considers:

• Whether the applicant can meet their reasonable needs (based on the standard of living during the relationship),

• And whether the other party has the means to contribute.

In Sarah’s case, the Court ordered James to pay $600 per week for 18 months so she could retrain and work towards financial independence.

🔄 Spousal maintenance orders are usually made on an interim basis. Either party can apply to have the order reviewed every six months, especially if there’s been a change in income, employment, caregiving arrangements, or living situation.

This review process allows the support to adapt over time and ensures the arrangement remains fair to both parties.

In Sarah’s case – Sarah was not receiving social welfare benefit from Work and Income. She was only relying on the $35k salary to manage the household, after James left the Family home. All other incomes were taken into account, including Working for family tax credit and child support payments and other income sources.

📘 Legal Reference:
Spousal maintenance applications are governed by Sections 61 to 69 of the Family Proceedings Act 1980, with Section 63 being the core provision empowering the Court to make maintenance orders.

Do I Apply for Both Together?

This is a key difference that often confuses people:

Economic disparity is included in your PRA claim — it’s part of how the property is divided. Spousal maintenance, however, requires a separate application under the Family Proceedings Act 1980.

If you’re considering both, you’ll need to apply under the right laws — possibly at the same time. A Family lawyer or Mckenzie friend from FDSS can help guide you through the process and ensure all applications are filed correctly.

Can I Apply for Spousal Maintenance Later?

Yes — and in some cases, even retrospectively.

You don’t have to apply for spousal maintenance immediately after separation. If you can show that you had a genuine financial need and your former partner had the means to assist, the Court can award a lump sum payment for a past period of need.

That said, the longer you wait, the harder it can be to prove your case. Early legal advice is key.

Key Differences at a Glance

What Evidence Would Sarah Need?

For Economic Disparity:

• Earning history (IRD summaries, payslips)

• Career interruption (CV gaps, parenting responsibilities)

• Attempts to re-enter the workforce (job applications, retraining courses)

• Optional expert report (vocational or economic assessment)

For Spousal Maintenance:

• Financial need (budget, rent, bills, bank statements)

• Limited income (payslips, benefit statements)

• Other party’s capacity to pay (their payslips, financial disclosure)

• Children’s needs (school or childcare costs, medical expenses)

• Evidence of lifestyle during the relationship (joint spending patterns, living costs)

Final Thoughts

Both economic disparity and spousal maintenance aim to promote fairness after separation — but they do so in different ways.

Economic disparity compensates for sacrifices made during the relationship that affect long-term earning potential.

Spousal maintenance supports the lower-earning partner through the transition — especially where they can’t meet their needs despite working or receiving a benefit.

And remember: spousal maintenance orders are not permanent — they’re interim and can be reviewed or varied over time as circumstances change.

You may be entitled to more than a 50/50 split, especially if you took on caregiving roles or made sacrifices that affected your career and financial future.

Important Disclaimer

This blog is for general information only and does not constitute legal advice. Just because the example above applies to Sarah doesn’t mean it will apply to you.

Every situation is different. Whether you qualify for spousal maintenance or an economic disparity adjustment depends on your unique circumstances.

Feel free to reach out to speak with one of our coaches by requesting a call back.