QLD Earning Capacity - Experiences with Child Support Agency?

[King Neptune]

I'm curious whether anyone has had experience with the Child Support Agency regarding how willingly they consider earning capacity in their assessment of child support.

Long story short - ex, myself and the kids relocated back to AUS from the UK approximately 15 months ago. We're all AUS citizens; both the ex and I are identically qualified professionals and have work history here. I secured full time work immediately, however, the ex has casual employment only and is claiming limited opportunities for full time work are available (an opinion I don't share). We share care of the children equally, so that isn't a limiting factor for capacity to work.

I asked a CSA officer about this and got a textbook 'would depend on many factors' type answer. Is anyone able to provide insight into how this could play out based on experience?

 

[sammy01]

I'm guessing you're both teachers?

Ok - so lots of questions and not many answers - yet...

Do you have consent orders pertaining to the kids? How much child support are you paying?

 

[King Neptune]

Nup, we're Engineers (not noble enough to be teachers...).

- No consent orders. Custody is currently managed under a jointly developed parenting plan. Conflict levels are relatively low and so far is working ok. Working towards mediation shortly.

- Zero child support at the moment because ex hasn't submitted the paperwork which triggers CSA to account for foreign income in their assessment. We filed AU 2015-2016 tax returns as we had minor (identical) income here, and this forms the basis for CSA's current assessment. A manual request needs to be made for them to look into foreign income.There will be potential for backpayment once 2015-2016 FY foreign income is assessed.

Our 2016-2017 earnings are all in AU, and because ex hasn't been working/casual only there will be a very large discrepancy...unless CSA assess that ex could/should have also been working. Post-separation we both have money in the bank to support ourselves which I understand is also a factor CSA may consider.

 

[sammy01]

Ok so back pay don't happen. CSA will only collect from the date of application. so that is a win..

So with 50/50 shared care, you are already on a win. Do nothing to rock that boat. CSA have an estimator on their site.. Run the figures, with 50/50 care child support will likely not be a huge amount anyways...

So for example when I earnt $95 000 and the ex earn't stuff all and I had the 3 kids less than 35% of the year, I had to pay about $500 a fortnight and that sucked. But once it went above 35% things improved... But there was a significant disparity in income (about $75 000)

I reckon you might have to fork out $100 a week and probably less... Small change in comparison to her changing her mind on the parenting plan and you having to hire solicitors for a court battle...

My advice - get consent orders asap. Make sure your time with the kids is guaranteed (as much as these things can be) then consider making an application for CSA to determine earning capacity..

But while I'm here - Check this one...but you can have some additional income quarantined from child support for the first 2 yrs (I think) after separation... so what that means is if you can show you're earning extra to try and get back on your feet after the expense of separation - then that additional income can be removed from CSA calculations... But again, don't play that card till the time with kids is locked in with consent orders

 

[King Neptune]

Awesome, thanks. That's all in line with what I understood. Still interested to know the likelihood of CSA considering earning capacity based on experience. Running the #'s the difference could be ~$1k/month between if they did/didn't factor this in. Not sweating the small stuff, but would much rather the $'s get spent on the kids out of my pocket obviously.

 

[sammy01]

So get consent orders pertaining ot time with kids.... From my experience when there is a potential disparity in income, the less affluent parent has a motivation for minimising time the other parent spends with kids...

Look my experience with CSA has been mostly positive. That said the drones who answer their phones don't always know their rules as well as one would like... But yep they do have a few mechanisms in place to try to ascertain average earning capacity based on income as one of the things they have explained to me when I was challenging my ex who claimed an income of zero.

In my case I decided it wasn't worth it as I am the primary carer and the one on the big money... So until the ex earns more than $35 000 a year, she has no obligation to pay and then it is a piddly $5 a week... So I chose not to pursue it...

In your case it would be worth chasing it up.. I'm guessing there is also asset division to be looked at? so there is a potential problem there too... Greatest need is factored into asset division, so on paper she has a greater need to the asset pie because her earning capacity is less...

My thought - just aim for 50/50 ball park on asset division and consent orders about the kids and deal with CSA only once she has made a claim and you have the other stuff in order. I reckon you will have a reasonable result with CSA

 

[King Neptune]

Thanks mate, all good suggestions.

Correct, asset division still needs to occur. Why would you think the ex's capacity to earn would be less though? On paper we have comparable credentials and historically our incomes are not dissimilar; if one party chooses not to exercise their capacity fully then what? Respect that demonstrating this would be challenging, and in some instances it might be easier to pay up, shut up and just get on with life.

NB. After a good trawl through this forum this morning I think I must be the only recently separated person on here that isn't a deadbeat parent, victim/perpetrator of domestic violence and/or a drug addict (well not yet, anyway).

 

[sammy01]

As far as asset div goes - she could try to argue she has done more home duties and this has impacted on career ladder climbing. Working part time to be a good mum. Argument might not hold water, but it is a point that could be argued... Look don't fret - in most court cases one parent is crazy and or there is a serious disparity in incomes.

Best thing you can do is stay out of court - There is a small % of folks that manage to navagate this s**t without going grey and without traumatising their kids out of spite for their ex... Try and keep it that way between you and the ex and if you do write a book to teach everyone else how to do it.