Types of Private Arrangements
Informal Arrangements
No official agreement - parents just arrange between themselves.
Binding Child Support Agreements
Formal written agreements that override the formula assessment.
Limited Child Support Agreements
Less formal than binding, but still registered.
Informal Arrangements
How They Work
Parents agree privately:
Advantages
- Flexible
Risks
- Not enforceable
Binding Child Support Agreements
Requirements
- Must be in writing
What They Can Include
- Any amount (above or below formula)
Advantages
- Certainty
Limitations
- Hard to change (need both parties' agreement or court order)
Limited Child Support Agreements
Requirements
- Must be in writing
Limitations
- Can only pay at or above assessment
Advantages
- Simpler than binding agreement
Choosing the Right Option
Informal Works If:
- High trust between parents
Binding Agreement If:
- Want certainty and finality
Limited Agreement If:
- Want something registered but flexible
If Someone Doesn't Pay
Informal Arrangements
Limited options. You may need to:
Registered Agreements
Services Australia can collect:
Tax Implications
Child support (whether formula or private) is: