26/05/2010
The Australian Government plans to improve the process and align the rules used for determining care levels for separated parents who are both child support and family assistance customers.
Legislation has been introduced into Parliament. A copy of the Bill can be found on the APH website.
What is alignment of care?
Currently, the Family Assistance Office (FAO) and the Child Support Agency (CSA) apply different rules to determine the level of care used to calculate family assistance and child support payments.
The alignment of care will allow a single determination of care, using one set of rules, to be made for both family assistance and child support purposes.
If you are a separated parent, and a customer of both FAO and CSA, you will be able to have your care arrangements assessed by just one agency, either the CSA or the FAO. The other agency will simply recognise the change and update your details. This means that parents will only have to tell their story once.
Why is the CSA and Family Assistance Office aligning care?
Aligning the rules for determining care between the CSA and the FAO will provide consistency in decisions about the level of care being provided by parents for customers dealing with both agencies. This is expected to reduce objections and appeals flowing from the separate determinations in each agency.
By aligning the rules for determining care levels, the Government aims to remove the strain put on parents who have to deal with two agencies, and two different sets of rules.
When will the changes be implemented?
These changes are subject to the passage of legislation. If passed by Parliament, it will apply to all new care determinations made on or after 1 July 2010. The CSA and FAO will be making systems changes to provide for the automatic transfer of care determinations between each agency from July 2010.
Why do I have to wait until 1 July 2010?
There will need to be changes to the family assistance and child support legislation to provide for the new alignment of the care rules.
Also, CSA and the FAO need to make sure the systems are in place to allow the automatic transfer of your care arrangements between each agency.
What do I need to do?
You don’t need to do anything. These changes will be implemented from 1 July 2010 subject to the passage of legislation. These changes will only apply to new care determinations made on or after 1 July 2010.
From 1 July 2010, separated parents can apply to have their percentage of care worked out under the new rules, even if their care arrangements have not changed.
Until 1 July 2010, you will still need to tell both CSA and the FAO about any changes to your care arrangements. If you do not tell both offices about the change, your child support assessment or Family Tax Benefit calculation may continue to be calculated on your previous care arrangements.
Where can I get more information?
Further information will be available once the legislation has received Royal Assent. Full details of these changes will be available the Family Assistance Office website, calling 13 6150 or asking at your local Centrelink Customer Service Centre or Medicare Australia office. Alternatively, you can contact the Child Support Agency by visiting the Child Support Agency website or calling 13 1272.
Separated parents will also receive this information in agency newsletters, websites and e-bulletins to ensure they understand the changes.