What is Child Support?
Child support is a term that refers to a type of financial maintenance for a child of separated or divorced parents. Child support is governed by a federal scheme, called the Child Support Scheme which was implemented through the Child Support (Assessment) Act 1989 (Cth). The Child Support Scheme ensures that all children living in Australia receive appropriate financial support when their parents are separating, have separated, or are divorced.
Regular payments are made from one parent to the other to ensure that both parents are making an equitable contribution to the well-being of their children who are under 18 years of age.
How do I apply FOR Child Support?
A parent seeking financial support through the Child Support Scheme may apply for receipt of Child Support through Services Australia (Child Support).
Services Australia (Child Support) considers each case on its specific facts and determines how much financial support should be paid and which parent should receive these payments (in most cases, this will be the parent with primary care).
To apply for a Child Support Assessment, you will need to contact Services Australia or go to the Services Australia (Child Support) website where you can find more information about applying, the process, and what information you will need to provide.
What Does Child Support Cover?
Child Support was designed to be a financial contribution to the raising of a child or children. Expenses that relate to raising a child include food, clothing, housing, school costs, extra-curricular activities, etc. and the intention of requiring Child Support payments to be made is to ensure these costs are being met where possible. In saying this, the expenses covered by Child Support are not regulated and are at the discretion of the parent receiving the payments.
By not regulating Child Support (payable to the parent with primary care in most cases), parents are able to use the Child Support funds as is best suited to the individual needs of their family. For example, if your child needs unexpected medical care, payments may be used to cover those medical costs.
It is unlikely Child Support payments will cover all the expenses of raising children, as it is designed as a financial contribution – it is a type of support to assist the parent with primary custody in meeting the financial needs of their children. What that means is that Child Support payments are dependent on the financial circumstances of the parents involved and are assessed on a case-by-case basis, the goal of which is to determine a fair and equitable contribution.
How are Child Support Payments Calculated?
Child Support payments are based on the incomes of both parents and the percentage of care each parent is responsible for (how often in a year they look after the child or children).
Where more than one child is involved and the level of care is different for each of the children, then payments can differ between dependents based on the care percentage.
The recipient of support payments can also apply to have the amount paid adjusted, which can be based on a myriad of circumstances, such as an increase in income, special circumstances, or an unexpected ongoing cost that needs to be taken into consideration.
Can I seek Orders in the Court about Child Support?
The Federal Circuit and Family Court of Australia has the power to make child maintenance orders pursuant to s 66G of the Family Law Act 1975 (Cth). The Federal Circuit and Family Court of Australia may assist with Child Support or Child Maintenance matters in the following circumstances:
- Where a parent has engaged in all steps of the administrative process through Services Australia (Child Support) and wish to appeal an outcome;
- Where a Child Support Assessment is issued and the parent receiving the Child Support seeks non-periodic payments;
- Where a Child Support Assessment is issued and a party to it seeks to depart from it because of special circumstances and either:
- the court is already dealing with a case involving the parties and deems it in the interests of the parties to consider the Child Support departure in the special circumstances; or
- the assessment provides for the minimum level of Child Support to be paid. Child Support Appeals.
Binding Child Support Agreements
Parties may also come to an agreement known as a Binding Child Support Agreement with respect to the Child Support amount and method of payment through negotiation and mediation. You must receive independent legal advice if you are to enter a Binding Child Support Agreement. Your lawyer must advise you on the advantages and disadvantages of entering into a Binding Child Support Agreement. Your lawyer may also assist you in negotiations including attending a lawyer assisted mediation with you to reach an agreement, and review or draft a Binding Financial Agreement for you.
Seeking Legal Advice on Child Support?
If you are seeking legal advice regarding child maintenance, speak to a legal professional for further information – contact one of Sydney’s leading family lawyers and book a FREE 15-minute consultation.