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Child Support Overhaul

By Tara Grant - 14 Sep 2011

An overhaul of Child Support legislation is due to be introduced in the next few months.

The changes will include:

Payments

  • Shared care will be reduced from 40% of nights per year to 28%;
  • Payments may be deducted directly from a paying parent's pay.

Formula

  • Payments will be determined on more up to date estimated expenditures for raising a child;
  • Income of both parents will be taken into account, even where care is not shared.

Income

  • "Income" will exclude tax losses and include certain trust income.

Penalties

  • Penalty rules for defaulting parents will change so that they are not so punitive as to discourage parents from resuming payments.

We will keep you updated as the new legislation is introduced.

 

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