Child Support Agreement

What is a child support agreement?

A child support agreement is a legally binding document between parents of a child that determines who, when and how much shall be paid for the child support maintenance. This document provides a clear legal framework defining both parties’ main obligations, amount of support, disputes resolution and termination clauses.

This child support agreement form can be used in different life circumstances, including:

• to make a child support arrangement once a couple divorces, separates or no longer lives together;
• to replace an existing child support agreement with the new one;
• to end an existing child support liability and replace it with this child support agreement; or
• to amend or change an ongoing child support agreement.

Types of Child Support Agreements in Australia

Private child support agreements in Australia could be of several main types – limited and binding.

Binding Child Support Agreement

This is a type of child support agreement signing which requires both parties to obtain prior independent legal advice. Signing this document significantly affects each parent’s rights and obligations, since the document can only be terminated by a court order or if both parents agree to it in writing.

Binding agreements are common for parents who do not agree with the child support assessment provided and want to amend it accordingly.

(Non-binding) Limited Child Support Agreement

A limited child support agreement is less strict, as it does not require either parent to get prior legal advice. On top of that, the rules for termination are much broader compared to the binding support agreement and additionally include ending the agreement if it lasts for more than 3 years or if the income changes for more than 15% from the last child support assessment.

What should be included in a template of a child support agreement?

A standard private child support agreement Australia must include the following:

Information about Parties

The parties involved in a child support agreement in Australia are a paying parent and a non-paying parent. The document must clearly outline their full name, current residential address and contact details such as email and phone number.

Information about Children

All limited or binding child support agreements shall outline information about the child or children covered. This information shall include each child’s full name and date of birth as per the child’s birth certificate.

This agreement can only be used for:

• Children under 18 years old who are unmarried and do not live in a domestic relationship;
• Children are citizens of Australia or usually reside in Australia.

Details of Financial Support

Depending on the type of agreement, the text of the document shall outline the following:

• the amount of support in Australian dollars (indication of support in other currencies is not allowed);
• the frequency of payment (for example, as a lump sum, monthly or annually);
• indication of payments (for example, the amount of regular payments shall be adjusted by the Consumer Purchase Price Index);
• acceptable payment methods.

Loss of Income Clause

A child support agreement is being concluded for the long period of time and normally can last for years. Therefore, it is important to consider well in advance what shall happen with the child support payments if a paying parent is no longer capable of paying due to loss of income or unemployment.

The most standard solution for this is a temporary suspension of the agreement for a period of time necessary for a paying parent to recover their income or find a new job.

Duration of Agreement

A child support agreement becomes effective only upon its registration with Services Australia. The process of registration usually takes between 2 and 30 days, and it being delayed is usually due to parties’ failure to pay the application fee.

The agreement automatically expires upon:

• A child reaches the age of 18 years old.
• A child dies, or
• A child starts living in domestic relations with the third party.

The agreement can expire earlier if the parties set a specific termination date or the list of specific circumstances upon which it shall expire. The list of these specific circumstances may include a paying parent being declared absent or mentally incapable.

Checklist for Private Child Support Agreement Australia

Once your binding or limited child support agreement template is ready, both parties must take a few additional steps:

Read the Document

It is important that both parents read carefully the text of the final document before its signing. These steps are necessary to ensure all information provided is accurate. In particular, parties have to check the following details:

• amount and frequency of payments;
• rules for payments indexation;
• payment rules once a paying parent loses their income.

Seek Legal Advice

Section 80C of the Child Support (Assessment) Act 1989 requires parties to a binding child support agreement to seek mandatory prior legal advice before signing this document. This rule does not apply, however, in the case of signing a limited child support agreement.

Upon obtaining legal advice, each parent shall take a certificate from their legal practitioner confirming the same that shall be attached to the signed child support agreement.

Sign and Date the Document

Both parties must sign and date the document in three identical copies. While one copy shall be kept by each person, the other copy shall be submitted further to Services Australia for further acknowledgement. There is no requirement for parties’ signatures being additionally witnessed by third parties.

In order to enforce a limited or binding child support agreement, parties must further submit it to Services Australia by fax, mail or online. The document becomes valid and enforceable once the application fee is duly paid to Services Australia.

What are the main features of this child support agreement template?

By customising this private child support agreement Australia, you get the following benefits:

• a document that can be used for all Australian states and territories;
• a template that is fully compliant with recent guidelines provided by Services Australia;
• a template that aligns with provisions of the Child Support (Assessment) Act 1989;
• a document that is tailored to your specific family circumstances and personal needs;
• a template that is written in a plain, clear English;
• a template customisable for various child support payment arrangements, including lump sum, periodic and non-periodic payments.

How to customise a child support agreement with FasterDraft?

To get a fully customisable document template, follow a few easy steps below:

1. Click the “Create Document” button.
2. Answer simple questions in the form.
3. Select a template’s format – a child support agreement form in PDF or Word.
4. Make a payment.

The document is ready for instant download immediately after the purchase.