FIXING A RATE OF CHILD SUPPORT BY AGREEMENT - TRADING CERTAINTY FOR FLEXIBILITY Craig Nicol hild support is a simple enough concept on its surface. The law compels parents to each contribute towards their children’s daily cost of living. The amount payable is calculated by a default formula, ensuring that there are basic rights and obligations for separated parents across the country. The concept of a child support agreement is also simple enough at first, there being mandated types of agreements that enable parents to create their own obligations to pay support and by doing so, replace the default formula with their own agreed entitlements and obligations. Parents can agree upon the amount to be paid, when payments are made, or the method of payment (lump sums, payment of school fees and so on). A child support agreement can be appealing to both parents, as it provides fixed and certain arrangements, unlike the default formula, which changes to reflect each parent’s circumstances over time. Parenting, however, is a journey for parents and children alike. Kids grow older and circumstances change. Because of this, locking in long-term child support obligations via an agreement needs to be thought through. What happens if things radically change down the track? This was the case for Mr Cheyne in the recent Full Court case of Masters & Cheyne, where a binding Child Support agreement compelled the father to pay $240 per week to the mother. That agreement was struck when the parents’ son lived with the mother and spent five nights per fortnight with the father. Circumstances changed when the mother moved interstate. The child commenced living with the father, leaving him with an unwanted, ongoing obligation to pay the mother support pursuant to their agreement. C 12 Pindara Magazine 2017
Pindara Private Hospital Magazine - Issue Ten
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