Private payments

We tell you how much child support needs to be paid, and then parents transfer payments between themselves. This is called private collect.

If you receive child support you can choose this option when:

More than 63 per cent of newly-separated parents in 2007-2008 chose this option because it’s flexible and they can cooperate: you and the other parent work out the payment arrangements that best suit you and the children.

We strongly recommend you put your payment arrangement in writing, so both of you can see the details you’ve agreed to and keep records so you can track what has been paid or received.

If your child support payments affect your Family Tax Benefit, a written record is useful if you ever need to ask the Family Assistance Office to review how your Family Tax Benefit was calculated.

You still need to contact us immediately if your circumstances change, so we can make sure your assessment is still correct. We can deal with most changes quickly and easily over the phone or through CSAonline.

If we currently transfer payment for you and you want to switch to private collect, call us on 131 272. You can also let us know that you want to switch to private collect through CSAonline.

How to set up private payments

You don’t need to tell us about your plans, but this guide can help you to set up a workable private arrangement.

  1. After you receive your assessment, agreement or court order, check:
    • how much child support needs to be paid, and
    • if there are any specific instructions (if you have a court order).
  1. Decide how often payments will be made. For example, weekly, fortnightly, monthly, lump sum amounts.
  1. Decide how payments will be made.
  1. Option Handy hint
    Cash Keep receipts to show the payment was for child support.
    Bank transfer Check with your bank as this could involve a fee.
    Salary deduction The paying parent should check with their payroll section to see whether this option is available.
    Personal cheque There may be clearance times for personal cheques.
    Bank cheque Money orders can be obtained from Australia Post, or money order and bank cheques through your bank.

  1. Decide if any or all payments will be ‘in-kind’ or made to third parties.

    ‘In kind’ payments

    Both parents need to agree on what will be done or given ‘in-kind’, how much it’s worth and how often it will be provided.

    Third party payments

    Both parents can agree upon anything they choose. Here’s some examples:

    • Food, clothing, and household goods
    • Rent, mortgage payments or free accommodation
    • Health insurance or payments for medical or dental treatment
    • School fees, tuition or child care expenses
    • Loan, credit card and store account repayments
    • Travel or holiday expenses
    • Bills such as gas, electricity, telephone or council rates
    • Motor vehicle expenses
    • Sports club and coaching fees or other sporting expenses
    • Household repairs.
  1. Put your arrangement in writing, and make sure both you and the other parent have a copy.

If private payments don’t work out

If you are the receiving parent, you can ask us to start collecting payments for you at any time. One late payment doesn’t always mean the arrangement has broken down—there could be a mistake at the bank, a postal delay or another reason. If you can, discuss the problem with the other parent and try to work out a solution.

If you ask us to start collecting payments, we can only collect up to three months arrears (or up to nine months in special circumstances).

If you want us to start collecting payments for you call us on 131 272.