Future DirectionsTABLE OF CONTENTS | MAP | CSA HOME Money mattersKey issues
Myths
Background notes Money is a complex issue. It often represents other emotions and relationship dynamics, and can symbolise power. There are also cultural and social class aspects to money - it may be managed differently in different cultures and social classes. It is therefore important for service providers to model various ways of dealing with these differences. The Family Law Act and the Child Support scheme attempts to cut across historical and legal notions that children were a form of property, owned by their father. 'Ideas about parental ownership or control have been replaced by the concepts of joint parental responsibility and duty.' There is a legal expectation that parents will take responsibility and financially support their children. These ideas can be difficult to reconcile with the role money plays in nearly all cultures and societies, which is as a form of currency for exchange.That is, if I pay money, I expect to get something in return, unless I am donating the money to a charity and expect nothing but a sense of goodwill from my action. Parental financial responsibility is not affected by any change in the parents' relationship. Each parent continues to be responsible for making decisions about their child's welfare unless a court order specifies differently. This includes matters like where the child will live and with whom the child will have contact. Children have a right to have a relationship with both parents. Outdated ideas about what children need still permeate our culture and may influence the attitudes and expectations of the parents with whom you are working. When considering future financial options there are some important tasks that include:
Considering the financial impact of repartnering can also be helpful in preparing for the development of new relationships. Adults A shortage of money is a real issue for many families. 'Parents who have been used to a reasonable standard of living can experience a dramatic adjustment and culture shock when re-establishing themselves as single parents.' This may be compounded by a perceived financial inequality between households. If a parent repartners, there may be concern that financial support will lessen as the new family takes shape. There should be consideration of how to balance parenting responsibilities with the need for adequate income. It is not an easy choice whether to look for a job for necessary extra income and have less time with the children and possibly need to make arrangements for child care. There are services available to both parents to help deal with these issues. Financial counsellors are available to provide advice and guidance on how to manage money. Financial counsellors can be located in community phone directories and through community centres in local areas. Most states have an association or network of financial counsellors which can be a resource to individuals seeking financial advice.
Using a mediation service can help with difficult decisions. Mediation offers co-operative problem solving and assistance with decision-making. A mediator is trained to help people discuss issues so they can work out mutually acceptable solutions. There is a variety of flexible choices available to parents in the methods that they pay and receive child support. Where possible, parents are encouraged to work together to manage their child support responsibilities. Parents can make their own private arrangements or seek guidance from CSA. These private arrangements can be spoken or written.They can cover the amount of child support and how and when it is paid; however the right to agree on amounts of child support is limited if the carer parent is getting Centrelink benefits. CSA can advise parents about the range of child support options available to their individual circumstances. Even when the amount of child support is set by CSA or by the courts, parents are encouraged to make private payment arrangements. Where these do not work, CSA can collect child support for the carer parent. Children changing residence to their other parent or relative's house will also affect budgets and child support issues.When this happens parents will need to consider who is financially responsible for what. CSA looks at a number of factors to determine how much child support should be paid. A change in the circumstances of either parent (income, financial or carer responsibilities) is likely to have an effect on the assessment and how much child support is paid or collected. CSA provides a number of services that support parents when working through options to reflect their change in circumstances. A booklet titled Me and My Money (PDF 691k) is available from local financial counsellors or by calling CSA. The book will help parents take steps to control and stay in control of their financial situations. It is important not to assume that participants will know how to manage money. Limited money-management skills may have been masked in the previous relationship because there was an adequate income or because the other parent managed the household finances. When there is much less money available the need for management skills becomes very apparent. 'New skills are needed in today's environment where conceptually 'credit' is increasingly considered to be 'money'.' People may be particularly anxious if financial concerns and related legal issues loom. A financial counsellor's expertise may be useful in offering training and information for managing money and dealing with financial crises. A financial counsellor can assist with knowledge and skills related to:
A parent may become very aware of the amount of child support being paid out, and how this limits resources available to their new relationship or family. For some, the financial situation is so tight that they see no possibility of being able to repartner. For others the issue may be whether, with one or both partners paying child support, they can afford to start their own family. Either of these situations can create enormous resentment and bad feelings and it is important for counsellors and educators working with people in this situation to be aware of these factors. Children Children will have their own expectations in relation to money, based on their experience of their previous family lifestyle.They may need help to adjust to the new realities in each of their families. Children may also need help to find ways of reconciling what might be very different financial circumstances in each of their parents homes. Children often feel powerless but clear guidelines and explanations from both parents will help their adjustment. If the parenting relationship is supportive, involving children in decisions about how they will manage can help to reduce children's unrealistic demands. Encouraging age-appropriate contributions to household expenses educates young people about the reality that no-one lives for free. It is important that parents are clear with their children about who will pay pocket money, and who will provide money for school books and school camp. Extended family Many families may not have ready access to the backup that extended families can offer. Financial or other support may be offered in the form of assistance with housing, childcare or holidays. Children and teenagers may sometimes live with extended family. Financial contributions by grandparents and other members of the extended family may be a great help for the single parent to get back on their feet and establish a new life. The willingness of extended family members to provide financial support may be dependent on many factors including their own financial position, their relationship with the children, the amount of time they spend with them and their perception of the level of support being provided by both biological parents. |