Section 35 - Child Support Legislation Amendment (Reform of the Child Support Scheme—New Formula and Other Measures) Act 2006 - Formula 1: Method statement using incomes of both parents in single child support case with no non‑parent carer

35Formula 1: Method statement using incomes of both parents in single child support case with no non‑parent carer

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Turn the raw legal text into a practical explanation grounded in Child Support Legislation Amendment (Reform of the Child Support Scheme—New Formula and Other Measures) Act 2006.

35 Formula 1: Method statement using incomes of both parents in single child support case with no non‑parent carer

This is how to work out the annual rate of child support payable for a child for a day in a child support period if no non‑parent carer has a percentage of care for the child for the day.

Method statement

Step 1. Work out each parent’s child support income for the child for the day (see section 41).

Step 2. Work out the parents’ combined child support income for the child for the day (see section 42).

Step 3. Work out each parent’s income percentage for the child for the day (see section 55B).

Step 4. Work out each parent’s percentage of care for the child for the day (see section 48).

Step 5. Work out each parent’s cost percentage for the child for the day (see section 55C).

Step 6. Work out each parent’s child support percentage for the child for the day (see section 55D).

Step 7. Work out the costs of the child for the day (see sections 55G and 55H).

Step 8. If a parent has a positive child support percentage under step 6, the annual rate of child support payable by the parent for the child for the day is worked out using the formula:

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Note: If a parent’s percentage of care for a child is more than 65%, the parent’s annual rate of child support for the child is nil (see section 40C).