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.

7.1.2 Agency collect – payee entitlement to payment & disbursement

Context

A payee (1.1.P.30) of a registered maintenance liability is entitled to be paid the amounts the Registrar received in the previous month for child support (1.1.C.60) due and payable by the payer (1.1.P.40) (7.1.1).

On this page

  • Entitlement of payees of registered maintenance liabilities to payment
  • Disbursement of child support
  • Entitlement of payees of carer liabilities to payments
  • Apportionment of payments between payees

Entitlement of payees of registered maintenance liabilities to payment

The Registrar must pay a payee of a registered maintenance liability on or before the first Wednesday of the following month an amount equal to the total of the following amounts in relation to their registered maintenance liability:

  • amounts deducted through employer withholding (1.1.E.20) in the previous calendar month
  • other amounts the Registrar received in relation to their registered maintenance during the ‘payment period’ (1.1.P.50) for the month (7.1.1), and
  • amounts not previously paid to the payee that were
    • arrears (1.1.A.100) amounts deducted by an employer in relation to the liability, or
    • received by the Registrar before the payment period (that is, previous advance payments),

but excluding any amount that was not due and payable by the payer (1.1.P.40) on the seventh day of the current month. The Registrar will hold these advance payments in credit and apply them against future amounts payable to the payee.

The payment period begins 8 days before the first Wednesday of the current month and ends 9 days before the first Wednesday of the following month.

Example: The Registrar is collecting child support from Myron payable to Elisabeti. On the first Wednesday in December, Elisabeti is entitled to receive:

  • all payments deducted by Myron's employer during October (due to the Registrar on 7 November) including any deductions for arrears, and
  • all payments, other than payments from an employer, received up until the closing day, which is 9 days before the first Wednesday in December (that is, the Monday of the week that is before the week of the first Wednesday in December), including any arrears payments

except where:

  • the amount has already been paid to the payee, or
  • the amount is an advance payment of a future liability.

Act reference: CSRC Act section 4(1)-‘payment period’, section 76 Entitlement of payees …

Policy reference: CS Guide 1.1.P.30 Payee , 1.1.P.40 Payer, 1.1.C.90 Child support debt

Disbursement of child support

Within Australia

The Registrar is not obliged to make payments to the payee before the first Wednesday of the month following collection.

The Registrar has the discretion to pay an amount to a payee in the current month if the amount was due and payable by the payer on or before the seventh day of the current month. In practice, the Registrar will send collected payments to the payee from the 8th day of the month, and daily until the end of the month.

Outside Australia

Disbursement to payees residing overseas occurs once per month - on/around the 10th of the month and represent collections that have occurred in the previous month. For example, payments collected in March are collated and sent as one disbursement in April.

Payments may be disbursed directly to the payee or to the overseas authority (1.1.O.30) to forward to the payee.

Funds are issued in the currency specified by the receiving country.

Act reference: CSRC Act section 4(1)-‘overseas authority’, section 76 Entitlement of payees …

Policy reference: CS Guide 1.1.P.30 Payee, 1.1.P.40 Payer, 1.1.C.90 Child support debt

Entitlement of payees of carer liabilities (1.1.C.30) to payment

The Registrar must pay to the payer of the registered maintenance liability any amounts that are received by the Registrar in payment of a carer debt. For further information about carer debts (overpayments) see 8.1.1.

Act reference: CSRC Act section 69B Overpayments of payees, section 76 Entitlement of payees …, section 113A Recovery of debts by payees

CSRC Regs section 23 Prescribed amount that person no entitled to be paid

Policy reference: CS Guide 1.1.C.30 Carer debt & carer liability

Apportionment of payments between payees

Topic 8.1.3 provides information on how the Registrar will apportion child support payments made by a person who owes a debt to 2 or more payees.

Last reviewed: