About binding child support agreements

A binding child support agreement allows you to make an agreement about your child support payments.

What you need to do

Get legal advice

You’ll need:

  • advice from a registered legal professional
  • a legal certificate signed by a legal professional
  • to attach the legal certificate to the agreement
  • a statement that you got legal advice before signing the agreement

We recommend legal providers give us a draft agreement before it’s signed so we can check that:

  • it satisfies the legal requirements
  • it meets the needs of both parents
  • we can administer any clauses if the parents’ circumstances change

We won’t accept your agreement without a valid legal certificate.

Get a child support assessment

This only applies if you want a lump sum agreement. You don’t need a child support assessment to make any other type of binding agreement.

Read more about child support assessments.

Payment amount

Payment can be any amount, but both parties must agree.

Payment type

Payments can be cash or non-cash items, such as school fees or health insurance.

Lump sum payments

You must have a child support assessment before we’ll accept an agreement.

A lump sum payment can be:

  • cash, or
  • the value of a transferred asset

The amount must be equal to or greater than the annual child support rate. We’ll credit the amount against your child support rate each year until the credit runs out. We can credit 100% or you can set a lower percentage.

At the end of each year’s assessment, we’ll credit the lump sum payment. We’ll index the lump sum amount left over based on the Consumer Price Index.

Once the lump sum has been used up, the paying parent will need to pay their regular child support payments in line with the child support assessment or agreement.

Binding agreements and your family payments

You can agree on amounts less than the child support assessment. If this happens, we’ll still use your child support assessment to calculate your Family Tax Benefit. We call this a notional assessment.

Page last updated: 27 August 2017