What Is Child Support? Do I Have To Pay?

Family Law

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DATE PUBLISHED: March 5, 2020

Ever wondered if you are entitled to receive money from your ex, or if you should pay money to your ex, to support your children? Should you put an arrangement in place regarding child support? The Family Law team at McInnes Wilson Lawyers is here to help!

binding child support agreement vs limited child support agreement

Find out which child support agreement is best suited for your situation.

WHAT IS CHILD SUPPORT?

Child support is a payment made by a parent to help with the cost of raising and looking after children. Parents have a legal obligation to provide financial assistance for their children. In Australia the Child Support Agency (“CSA”), administered through the Department of Human Services, is responsible for assessing and collecting child support.

HOW MUCH CHILD SUPPORT DO I HAVE TO PAY OR WILL I GET?

The minimum amount of child support that would have to be paid is the CSA assessed amount. If you and your ex can agree you might end up paying more or less than the CSA assessed amount.  

The CSA assesses the amount of child support by making an administrative assessment. The administrative assessment is calculated by using the specific formula used in the online calculator which takes into account:

  • the number of children;
  • the children’s ages;
  • both parents’ incomes;
  • the amount of time the children spends with both parents;
  • whether a parent pays child support for other children; and
  • other factors.

You can calculate the amount of child support you may have to pay or you may receive by using the online CSA calculator, by following this link.

HOW IS CHILD SUPPORT ARRANGED?

You and your ex can arrange child support in these ways:

1. CHILD SUPPORT ASSESSMENT:

Either parent can apply to CSA for a child support administrative assessment.

The amount payable can either be collected by CSA or, if agreed, paid directly to the receiving parent.

If there is an assessment in place and you do not agree with it you can lodge an objection. The CSA will at times set aside or vary assessments if they have been calculated unfairly.  We covered this in a previous blog – click here.

2. CHILD SUPPORT AGREEMENT:

There are two types of formal agreements:

(a) Binding Child Support Agreements:

These agreements are permanent. The amount of child support one parent pays can be any agreed amount, meaning it can be less than the amount assessed by the CSA.

A Binding Child Support Agreement is the most secure way of "locking in" child support arrangements.

(b) Limited Child Support Agreements:

There needs to be a current CSA assessment in place. These agreements only last three years before one parent can apply to have it set aside. The amount of child support payable needs to be the same amount or higher than the amount assessed by the CSA.

To find out what agreement would best suit your needs check out our factsheet.  

3. INFORMAL AGREEMENT:

If you and your ex agree you can manage child support informally. The agreement can cover the amount and method of payment. Such agreements are unenforceable, meaning if one parent does not pay you may have to apply to CSA for an administrative assessment.

WE CAN HELP:

If you want advice on which child support arrangement suits your needs or want to find out more about child support or other family law related matters contact the Family Law team at McInnes Wilson Lawyers today.

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