New Formula

Is the new Child Support formula working? There's certainly no outrage about it, so perhaps it is.

One thing it hasn't accomplished is targeting those who rort the system or the gender bias that has been longstanding. You know the rorters, parents who demonstrate a low income but are asset and lifestyle rich. For example, a mother in a shared parenting situation who is a company director, buying a house, who enjoys regular interstate and overseas holidays, spends money freely on luxuries, expensive clothing and dines out more than the average person can afford to. Yet her taxable income falls below the child support threshold, so pays no child support. The father on the other hand lives hand to mouth, sometimes having to borrow money to pay his bills because his child support expenses take a considerable slice out of his income. Monies that further enhance the lifestyle of the mother.

Take a case like this through the CSA and all the mother has to do is claim she is being supported by her new partner to ensure no change in assessment. Reverse the roles and the father would be accused of failing in his financial duty towards his children, most likely investigated and made to cough up cash under the 'capacity to pay' legislation.

Isn't it about time the legislation is changed to look at the combined assets of relationships on both sides of the divide? After all. in family law, company income and combined assets of a couple are considered to be theirs and to be divided accordingly if they separate.