Change of assessment: Reason 7
The applicant believes that they have significant, necessary expenses in
supporting themselves that affect their ability to support their children.
They must explain why the expenses are necessary and give any steps they have
taken to reduce their expenses.
This reason does not cover expenses such as excessive superannuation
contributions or loan payments for a vehicle or boat used for recreational
purposes.
Both you and the paying parent may apply
under this reason
Things I should know
-
Necessary expenses are unavoidable or compulsory expenses together with
necessary living expenses (these could include mortgage payments, credit card
payments or personal loans depending on individual circumstances).
-
Necessary living expenses include the reasonable cost of food, accommodation,
household essentials, clothing and transport. Where the applicant shares these
expenses with another person, only their share may be taken into account.
-
In some cases, the reasonable costs of setting up a new household or paying a
debt in the period immediately following separation are considered necessary
expenses.
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Medical expenses, insurance costs, work related expenses and self-education may
be necessary expenses depending on the circumstances.
-
Where there is a refund or rebate for an expense (e.g. medical, dental,
pharmaceutical), CSA will take the net cost into account.
-
Excessive superannuation, or loan payments for a recreational vehicle/boat are
not considered necessary.
Supporting documents
If the applicant earns a salary or wage:
-
Payslips from their employer showing gross salary or wages.
If the applicant is in business or self employed:
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Information about how their business commitments affect child support.
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Details of their involvement in the business.
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Their latest profit and loss statement.
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Their latest balance sheet.
If the applicant has loan commitments:
-
Documents showing loan start date, details of loan commitments (minimum
repayment information and actual repayments).
Other
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Receipts for expenditure.
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Medical expenses - medical certificate, information about condition, evidence
or expenditure on treatment, medication etc.
When could I apply under this reason?
Example
You may apply under this reason if you have high re-establishment costs i.e.
you left all the household white goods in the family home and now have to
purchase white goods for your new home.
When could the other parent apply under this reason?
Example
The paying parent is still paying off a loan that you both had, and this,
combined with their other necessary expenses, means they cannot afford to pay
the current level of child support.