Limited agreements
Limited agreements are formal agreements that are in writing and signed by both parents.
Parents don’t need to seek legal advice before entering into a limited agreement. There are two conditions, which are:
- there must be a child support formula assessment already in place
- amounts payable under the agreement must be equal to or more than the child support assessed by the formula.
CSA will make a notional assessment of how much child support would be payable without
the agreement. The notional assessment is updated:
- every three years, or
- if the amount of child support payable under the agreement changes by more than 15 per cent, or
- whenever either parent asks for an updated assessment.
This ensures parents know how much child support would have been payable if the
agreement was not in place, and helps Centrelink
to calculate Family Tax Benefit.
The amount of Family Tax Benefit Part A you receive will be based on a notional
assessment, not the amount in the agreement.
If the notional assessment changes by more than 15 per cent, in circumstances not
considered in the agreement, either parent may be able to end a limited agreement
by writing to us. This means parents can end agreements if their circumstances change
in ways that weren’t covered by the agreement. Either parent can also end the agreement
after three years.
How to make a limited agreement
A child support agreement form and detailed information are
available online. You can use this form as a guide to help you draw up an agreement, or ask for
help from a solicitor or Legal Aid. You can also call the Family Relationship Advice Line on
1800 050 321 for help and information. You can also get help from a family
dispute resolution service, which can help parents sort out issues about children, money and
property. To find a service near you, go to the Community
Services Directory.
You can lodge a limited agreement online or call us on 131 272.
How to end a limited agreement
Parents can end a limited agreement if:
- both parents agree to end the agreement
- more than three years has passed with the existing agreement in place, and written notice is provided by the
parent who wants to end it
- there is a court order that sets aside the agreement
- the notional assessment varies by more than 15 per cent from the previous assessment, in circumstances not
included in the agreement, and one of the parents wants to end it, or
- a new agreement replaces the existing agreement.