Do you have a Binding Child Support Agreement? If so, do you ever review it? Do you remember what it says?
The answer is probably no, because as you would have been advised when you entered into the Agreement, your obligations to comply with the Agreement continue regardless of any change in your circumstances, or that of the other parent, including the care arrangements for the children.
However, this is no longer the case. Amendments to the Child Support (Assessment) Act 1989 may affect you and your obligations under your Binding Child Support Agreement.
As of 1 July 2018, the laws in relation to the suspension of Child Support Agreements in circumstances where there is a change to the care arrangements for the children was altered. These new laws apply retrospectively and will therefore apply to your Child Support Agreement, including those entered before 1 July 2018.
The law now provides for Child Support Agreements to be suspended in circumstances where the parent who is receiving child support stops caring for the children at least 35% of the time (i.e. have the children less than 128 nights per year). The Child Support Agreement can be suspended for up to 28 days, or if a party notifies the Child Support Registrar, up to 26 weeks (“the suspension period”) as a result.
In the event the parent who is receiving child support under your Child Support Agreement does not resume care of the children for more than 35% of the time within the suspension period, then the Child Support Agreement will be terminated. Should this occur, you will need to apply for a new Administrative Assessment through the Child Support Agency.
You may therefore wish to pull your Binding Child Support Agreement out of the filing cabinet and review it. You may find that your obligations under it have now changed.
This is general advice only. If you would like us to review the impact of the changes on your Child Support Agreement, or provide you with advice about entering into a Child Support Agreement, please contact our office on (02) 6225 7040 to make an appointment.
Photo by Marisa Howenstine on Unsplash