The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to relevant legislation/policy. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

3.1 Child support income

Introduction

This topic explains how child support income (1.1.C.120) is calculated and when it is used in the child support formula (1.1.C.110).

Description

Child support income is calculated in Step 1 of the child support formula to determine a parent’s (1.1.P.10) financial capacity to support all their biological or adopted children. A parent's child support income is their:

The way child support income is calculated for the relevant dependent child amount and the multi-case allowance within Step 1 is explained below.

Child support incomeComponents of child support income
Calculating the relevant dependent child amount

A parent's child support income is their:

  • ATI, less
  • the self-support amount.
Calculating multi-case costs for the multi-case allowance

A parent's child support income is their:

  • ATI, less
  • the self-support amount, less
  • any relevant dependent child amount.

Child support income determined in some other way

Other provisions of the Act may also be used to determine a parent's child support income:

  • a change of assessment decision (Part 5)
  • a child support agreement (Part 6)
  • a court order made (10.4.2)
  • post-separation income (3.5).

Act reference: CSA Act Part 6A Departure from administrative assessment …, Part 7 Division 4 Orders for departure from administrative assessment …, section 44 Post separation costs

When is child support income used in the child support formula?

A parent’s child support income is used in Step 2 of the child support formula to calculate combined child support income (1.1.C.190), and in Step 3 to calculate each parent’s income percentage (1.1.I.30).

Combined child support income is used in Step 7 of the child support formula to calculate the COTC (1.1.C.210) for an assessment.

Last reviewed: