Friday, 23 October 2020

How is Child Support Calculated?

Child Support

In Australia, c
hild support is calculated using a formula that considers the income of both parents, the number of children in the family, and the ages of the children. 

The Department for Human Services (DHS) uses a set of  six formulas that examines the situation of the parents. These six formulas are a variation of the basic formula used for child support assessment.  
The annual rate of child support is often assessed using formula one. Formula one is the basic formula used for single child support assessments where neither parent has another child support assessment case and both parents provide care for the children.
8 steps are followed to determine the annual rate of child support that each parent will pay under formula one. 
First, the child support income of each parent is identified. Then the combined child support income of each of the parent is calculated, the percentage of each parent’s income is then calculated. 
After this, the percentage of care of each parent is determined and the cost percentage is determined.
Each parent’s child support percentage is then calculated, then the costs of the child is determined by factors such as the parent’s income, number of children they have, and the ages of the children.

The last step is to determine the annual rate of child support for the child.

Jumoke Odepe is a freelance legal writer and researcher.

The blog by Active Pen is published to serve as general information only. It is not legal advice or a substitute for legal advice on any subject matter. The reader should understand that reading this blog does not establish any advisory relationship between the blog publisher and the reader.


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