Estimating your income
Changes to lodging an income estimate with the Child Support Agency
Separated parents can ask for their child support assessment to be based on an
estimate of their income if their current income is 15 per cent lower than the income
used in the assessment.
The period for estimating income is now one financial year. This provides parents
who choose to estimate their income for Child Support purposes with an easier and
more accurate way of estimating child support payments.
What has changed?
Estimates of income must now be made for one financial year (12 months).
Previously, estimates of income were made for a child support period (which may
have covered up to 15 months or three financial years).
The child support period remains at 15 months to ensure that assessments are
based on the most recent income information available.
Income estimates will be automatically checked against the actual income as soon as
the tax return is lodged. Previously, CSA had to wait until tax returns for many years
were lodged before estimates could be checked.
These changes simplify the process of income estimates and ensure the correct
amount of child support is paid in a timely manner.
What do I need to do?
These changes will only affect you if you need to estimate your income in the future.
- If you have already lodged an estimate of your income (before 1 July 2010), the
changes won't effect your current estimate. You still need to contact CSA if your
income changes.
- If you need to lodge an estimate of your income after 1 July 2010, you will be
asked to provide your year-to-date adjusted taxable income and an estimate of
your expected adjusted taxable income for the remainder of the financial year.
- It is important that you provide your most accurate year-to-date income details.
This information might be on your most recent payslip, or you can ask your
employer for your most recent year-to-date income figures.
- Your estimate will be automatically checked against your actual income when you
lodge your next tax return.
- Where your actual adjusted taxable income is equal to, or lower than, the
estimated income, the estimate will be confirmed. If your adjusted taxable income
is higher, your child support will be reassessed for the estimate period based on
your actual adjusted taxable income.
Where can I go for more information?
If you want more information about income estimates or you need to lodge an
estimate of your income you can call 131 272.