Agreement on Child Support

What Is a Divorce Child Support Agreement Template?

A child support agreement is also known as a child maintenance agreement. As a rule of thumb, a child support agreement includes the following key components:

• amount of regular support payments;
• frequency of support payments;
• information about children who are covered by a child maintenance agreement;
• coverage of other financial expenses for a child or children;
• clause about the change of the amount of regular support payments; and
• dispute resolution.

This agreement creates a comprehensive financial plan after the parents’ divorce or separation.

A document outlines clear financial obligations for a child’s support for a noncustodial parent. A noncustodial parent is a parent who does not live permanently with a child after divorce. In other words, a noncustodial parent is a parent who does not have physical custody.

Why Use a Child Support Agreement Template?

A Financial Child Support Agreement Template is useful in various situations:

• Define Future Arrangements: Marry and John get married this year. They plan to have lots of kids in the future. Marry and John are family attorneys. They discuss a child maintenance arrangement for their future kids in case of a divorce. The best way to fix their agreement is to put it on paper.
• Avoid Court’s Intrusion: Pamela and Peter are separated, and they have two kids together, ages 7 and 9. They do not want to spend a lot of money on attorneys and want to settle their divorce amicably. They decided to sign a child maintenance arrangement agreement.
• Avoid Potential Conflicts: Liezl and Jack divorced 2 years ago and have joint custody over their son. Lately Jack has started delaying regular monthly payments. Liezl insists on drafting a child support agreement. It can help to define the exact timing for regular monthly payments, as well as late penalties.

Difference between a Child Support Agreement and Child Custody Agreement Explained

A child support agreement is often confused with a child custody agreement. At first sight, both documents are aimed at managing post-separation parenting obligations. However, they have a different subject.

A child custody agreement has a wider scope of application. It includes not only provisions regarding support payments but also the following clauses:

Defining physical custody for a child.

It means that the parents have to agree with whom a child should live after a divorce. There are two types of physical custody: solo custody and joint or shared custody. The most common scenario is sole custody, when a child lives permanently with one parent only. In more rare circumstances, joint custody could be appointed by a court.

Establishing a visitation schedule.

It is an essential part of every child custody agreement. It defines the exact dates and times when a noncustodial parent can see their children. The agreement can also define the visitation schedule for public or family holidays.

Parenting Style.

This chapter may include a wide selection of topics parents have to agree on. It may contain the rules regarding discipline or punishment. Parents may wish to discuss topics like education or health together only.

Education and extracurricular activities.

Parents may need to decide together on educational choices for their children.

Form of a Document.

Unlike a child custody agreement, a child support document could be made in the form of a letter.

It is not only subject matter that differentiates a child custody agreement from a child support agreement. The difference is in a legal status. Having a child support agreement is a mandatory element of every divorce procedure. A divorce cannot be finalized until parties have a valid child maintenance agreement in place. On the other hand, a child custody agreement could be omitted.

Key Components of a Child Support Agreement Template

Parent Information

Every child support agreement should include parents’ details. Those details include the names, residential addresses, and contact details of both parents. Both parents should keep in mind that keeping their contact details up to date is crucial.

It is recommended to include as well the list of financial sources from which both parents receive their monthly income. It could be a monthly salary from a current place of work, income from stocks, income from renting out premises, or any other income.

Child Information

The full name and date of birth of every child a couple has should be included in the agreement. A child maintenance agreement covers:

• both biological or legally adopted children;
• children under 18 years of age;
• children above 18 years of age, provided they have certain physical or mental disabilities.

It is also not possible to make a child support arrangement with regard to one kid and not have the same arrangement for another child.

Payment Details

This forms the core of the child support agreement form. This section should specify:

Details about Regular Payments

The payments related to child support should be made regularly. It is up to the parents to decide how frequently those payments should be made—weekly, monthly, quarterly, or yearly. Putting in the exact due date is vital as it helps to track better if the payments are done on time or not.

The method of payment is something that should also be defined well in advance. Parents may prefer to choose a bank transfer, standing order, check, or cash. If child support is paid in cash, a custodial parent should issue written confirmation of the receipt of money each time.

Change in the Amount of Regular Payments

A child support agreement is concluded for many years ahead. That means that parents’ financial circumstances may change along the road. Either parent may get sick, lose their income, go bankrupt, start a new family, or have more kids. All those circumstances should be taken into consideration well in advance.

Parents may agree on the exact list of circumstances in which the amount of regular payment should be reviewed.

Last but not least, the amount of regular payments cannot be changed by either of the parents unilaterally. Any change that should be made to a child support agreement is made on the agreement of both parents.

Late Fees

Parties may also include in a child support agreement penalties for not making payments on time. It could be a one-off fixed fee or a certain percentage from the amount due.

The insertion of the clause for late fees works as an additional motivation for a noncustodial parent to make payments on time.

Additional Expenses

Monthly payments are aimed to maintain the daily living expenses of a child. Those expenses include food, clothing, transportation, etc. Handling unforeseen expenses should be addressed in advance. Additional unforeseen financial expenses might include:

• medical and dental insurance;
• healthcare issues, which cannot be covered with insurance;
• extracurricular activities;
• educational trips;
• vacation and holidays;
• school fees, etc.

There are different approaches on how extra expenses could be split between parents. The first approach suggests fixing the amount of additional expenses. This may also add some clarity for the noncustodial parent in terms of planning a monthly budget.

The second approach provides that any additional expense should be paid 50/50 by both parents. It is also possible to find another way to split the costs that will work for parents.

Dispute Resolution

Despite the chosen agreement form (letter or document), a dispute may arise between the parties at any time. Therefore, it is critical to decide in advance how the conflicts are to be managed along the road.

Parties may agree to settle a conflict amicably first. They may engage a professional family mediator to help find a way.

How to Use a Child Support Agreement Template

You can personalize a child support agreement template in a few easy steps:

• Answer All Questions. You need to answer all questions inside the questionnaire. Try to provide as much accurate information as possible.
• Discuss a draft. Once a child support agreement template is ready, send it to your partner to discuss it further. Make sure you both agree on all the terms mentioned in the text of the document.
• Seek legal advice (optional). It is advisable for a document’s template to be reviewed by an independent attorney. This helps to ensure that the document reflects all considerations parties have on their minds.
• Sign and date. After the document is finalized, both parents have to sign and date it. If signatures are missing, the document cannot become valid.

Common Mistakes to Avoid with Child Support Agreement Templates

Using a ‘child support agreement form’ can be very helpful, but pitfalls exist. Awareness of common errors can help you create a more robust agreement:

Unclear or Ambiguous Provisions

Mary and John are in the process of separation. John suggests Mary sign a child support agreement, which he drafted himself. One of the clauses to the said agreement states, “All school fees should be shared by both parents.” In that case the wording ‘shared costs’ might create a potential uncertainty. In fact, it is not being stated what percentage of sharing belongs to each of the parents. For instance, Mary may think that contributing even 10 % of all costs might be enough, while John may expect 50/50.

Having clear and precise wording of clauses decreases the number of potential disputes. Choose the wording for the document carefully. Always make sure that both parties to a child support agreement understand applied wording the same way.

Ignorance of Future Circumstances

Peter and Lucy signed a child support agreement 5 years ago. Back at that time, Peter had a successful business and good profit. The situation has drastically changed since then. He no longer can afford monthly child support payments of USD 2000. It turns out that a child support agreement does not have a mandatory review clause. It prevents Peter from changing the amount of monthly payments.

The child support agreement is a long-lasting arrangement. Thus, parties may need to include a review clause. This is especially needed when the financial or life situation of either of the parents unexpectedly changes.

Omission of important expense

Sarah and John divorced two years ago and have joint custody of their two kids. This year both kids start going to school. Sarah wants them to be enrolled in a private school. John refuses to pay high tuition fees for a private school. Sarah decides to go to the court.

A child maintenance arrangement is usually known as a simple document about monthly child allowance. However, this is not so. A good example of a child support agreement should cover all possible expenses. A child may have new hobbies, move to another school, or travel—and all that should be addressed in a child support agreement.