Because the couple did not have a prenuptial agreement, Rossdale, 50, is legally entitled to half of all money earned and assets accumulated during his nearly 13-year marriage to Stefani, 46.
However, a source tells PEOPLE Rossdale agreed to an unequal split of property so Stefani will end up with more; 50-50 joint custody of their sons Kingston, 9, Zuma, 7, and Apollo, 2; and did not ask for child support. The settlement has been filed in California court for a judge to approve.
In August, the rocker exes announced they were splitting after 20 years together. Their divorce fueled tabloid fodder, as claims of infidelity between Rossdale and their former nanny came to light.
Months after the breakup, Stefani began dating her newly single Voice costar Blake Shelton, who – along with her divorce – inspired her new album This Is What the Truth Feels Like.
Meanwhile, Rossdale is concentrating on his family and a new Bush album.
"He's doing great," a source close to the rocker told PEOPLE last month. "When he's not making music, he's with the kids."
TMZ was first to report the news.