CHILD SUPPORT

Note:. Same-sex couples can register for child support from 1 July 2009. Applications for child support can be made from 1 July 2009 even if the couple had children and separated before this date.

As a parent, you have choices in arranging your child support in a way that works for both parents. Child support can be assessed through:

Many parents choose to arrange child support independently without any assistance from the Child Support Agency, the courts or other government agencies.

Parents may make a child support agreement and can choose to organise collection themselves or collection by the CSA. Agreements can be varied by a further agreement or if there is no agreement, by court order.

Separated parents may apply to the CSA for an assessment of child support. This is assessed on the basis of a formula.

The new child support formula started on 1 July 2008. This new formula calculates each parent's contribution towards the costs of raising a child based on the combined incomes of both parents and the care arrangements for the child. The Costs of Children Table provides how much children cost by reference to both parents' combined income, the age and number of children.

The Costs of Children Table and the online Estimator can be found on the CSA website at www.csa.gov.au.

If a parent is on a low income, for example Centrelink benefits, minimum child support of $6.82 per week to each family is payable (up to a maximum of three families). If a parent has regular care of the child (14% of the time which is at least 52 nights per year) the parent does not need to pay the minimum to that family because the parent already meets some of the child's costs directly through care. The minimum rate of child support is indexed annually and the parent will be advised in writing of the new amount.

The maximum child support payable is known as the "cap". The child support formula is applied to the paying parent's income for the child support period.

A parent’s change of circumstances may affect an assessment of child support. Examples include birth of another dependent child, unemployment, or change in care arrangements You should let the CSA know as soon as changes occur as some changes may not be backdated. From 1 June 2009 the CSA will amend the administrative assessment depending on when they are notified or become aware of a change in care arrangements.

If separated parents reconcile, the CSA will suspend child support for six months.

Either parent may lodge an application to the CSA for change of assessment (also known as “departure determination” or “administrative departure”). CSA may also initiate a change of assessment.

The reasons to apply for a change include:

An objection may only be lodged against some decisions made by the CSA (including some change of assessment decisions). An objection must be made within 28 days of receiving the notice from the CSA.

The CSA will then make a decision on the objection. This decision can be appealed further but it's important to get legal advice if you are unsure about your rights.

Where late payment penalties have been imposed by CSA, you may request that they waive the penalties. This is called "remission of penalty". The CSA will consider the circumstances of each case in making a decision.

For more information on this subject refer to The Law Handbook chapter 5.2