Child Support Lawyers in the Hills District and Sydney

CHILD SUPPORT

After separation both parents continue to have a legal obligation to contribute to the financial support of their child. Depending on the circumstances, child support may be payable by one parent to the other, or by one or both parents to an eligible non-parent carer.

In Australia, child support is administered by Services Australia and is governed principally by the Child Support (Assessment) Act 1989 (Cth) (Act).

Child support may be dealt with through an administrative assessment or by entering into a private child support agreement. The most suitable arrangement will depend on your family’s circumstances.

Administrative child support assessment

Child support is financial support paid by a parent to the other, or to an eligible non-parent carer. Child support is essential to ensuring that children’s needs are met regardless of their parents’ relationship status and living arrangements.

Either parent may apply to Services Australia for a child support assessment, whether they expect to pay or receive child support. An eligible carer who is not a parent may also apply in appropriate circumstances.

Under the ordinary administrative pathway, Services Australia applies the statutory formula set out in the Act to determine whether child support is payable, who must pay it and the amount payable. Services Australia provides an online child support estimator that can give parents an indication of the amount that may be payable.

Broadly, the formula considers matters including each parent’s income, each parent’s percentage of care, the number and ages of the children, and any other dependent children and child support obligations.

The resulting assessment establishes the annual rate of child support payable, and payments may be collected through Child Support Collect or paid privately between the parents.

Further information is available from Services Australia about applying for a child support assessment and using its child support estimator.

Private child support agreements

Parents are not always required to rely solely on an administrative assessment. As an alternative, parents may enter into a private child support agreement, such as a limited child support agreement or a binding child support agreement.

Different requirements apply to limited and binding child support agreements. For example, a limited agreement requires an administrative assessment to be in force, and the annual rate payable under the agreement must be at least the assessed rate. Independent legal advice is not a statutory requirement for a limited agreement, although obtaining advice is prudent.

Whereas for a binding agreement, each party must receive independent legal advice before signing, and the agreement must satisfy the required statement and certification requirements. An administrative assessment is not generally required, but it is required for certain lump sum provisions. There are also additional requirements under the Act.

A private child support agreement may give a family greater control over how financial support is provided. Depending on its terms and the type of agreement, it may address expenses such as:

• school fees and related educational expenses;
• private health insurance;
• medical and dental expenses;
• extracurricular activities;
• tutoring and other agreed educational support; and
• travel or other agreed expenses concerning the child.

An agreement can specify the amount, timing and method of payment. Depending on its terms, it may provide for periodic payments, payments of identified expenses or other forms of agreed support. A child support agreement can be lodged with Services Australia for acceptance and, depending on the arrangements, payments may be privately collected or collected through Services Australia.

Private child support arrangements may also be negotiated alongside broader parenting and property matters following separation.

Extension of child support through Services Australia after the child turns 18

Child support will normally end when a child turns 18. However, in some circumstances child support can be extended while the child is undertaking full-time secondary education.

If a child turns 18 while undertaking full-time secondary education and there is a child support assessment in place, an application may be made by the receiving parent to Services Australia to extend the assessment until the end of that child’s school year. The application should ordinarily be made when the child is 17 and before the child turns 18.

Adult child maintenance

Adult child maintenance is different from an extension of child support through Services Australia.

An eligible person may apply to the Federal Circuit and Family Court of Australia for adult child maintenance orders. The court may make orders for adult child maintenance under Part VII, Division 7 of the Family Law Act 1975 (Cth), where the court is satisfied that maintenance is necessary:

• to enable the child to complete their education; or
• because of a mental or physical disability of the child.

Either or both parents, the child, a grandparent, or any other person concerned with the care of the child may apply for adult child maintenance orders, subject to the requirements of the Family Law Act 1975 (Cth).

Depending on the circumstances, the court may order periodic payments, a lump sum payment and/or another form of financial support (such as to cover the child’s accommodation, food, medical or other necessary expenses).

Orders for adult child maintenance may operate for a fixed period or until further order. An order made to enable a child to complete their education, or because of a disability, will generally cease to operate if that education or disability ceases. A child maintenance order may also cease or be discharged in circumstances prescribed by the Family Law Act 1975 (Cth), including where the child is adopted, marries or enters a de facto relationship.