Plain language law

New Zealand law explained for everyone

Child Support Act 1991

4A: Overview of child support payable under formula assessment

You could also call this:

“How child support payments are worked out using a special formula”

You can ask for child support to be worked out for a child you’re looking after. This is called a formula assessment. You can do this even if you’re not the child’s parent.

The person in charge, called the Commissioner, will look at how much time each person spends caring for the child. They’ll also check how much money each parent makes. This helps them decide who needs to pay child support and who should receive it.

You might have to pay child support if you earn more money compared to how much time you spend caring for the child. The Commissioner uses special percentages to work this out.

If you do need to pay child support, the amount is worked out using a special method. This method looks at how much you earn, how much time you spend caring for the child, and how much it usually costs to raise a child in New Zealand.

Remember, this is just a simple explanation. If anything here doesn’t match with other parts of the law, the other parts are the ones to follow.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6437800.

Topics:
Family and relationships > Children and parenting
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"This law explains why parents should support their children financially"

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5: Children who qualify for child support, or

"Who can get child support: rules for children"

4AOverview of child support payable under formula assessment

  1. A parent or non-parent carer of a qualifying child may apply to the Commissioner for a formula assessment of child support payable for that child.

  2. The Commissioner will then determine the proportion of care that each carer of the child provides, and the income of each parent of the child, and, using that information, will identify the parent or parents who are liable to pay child support, and the carer or carers who are entitled to receive child support, in respect of the child.

  3. A person will be a liable parent in respect of a child if his or her income percentage (which is a percentage of the combined child support income amounts of both the child's parents) is greater than the person's care cost percentage (which is a cost percentage directly related to the proportion of care that the parent provides to the child).

  4. If annual child support is payable by a liable parent for a qualifying child, the amount is determined under Part 2. It is worked out by deducting the liable parent's care cost percentage from their income percentage, and then multiplying the result by the appropriate amount set out in the relevant child expenditure table (which identifies, amongst other things, the average annual expenditure on children in New Zealand, by reference to average weekly earnings).

  5. This section is by way of explanation only. If it is inconsistent with any other provision of this Act, the other provision prevails.

Notes
  • Section 4A: inserted, on , by section 8 of the Child Support Amendment Act 2013 (2013 No 12).
  • Section 4A: amended, on , by section 6 of the Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 (2016 No 1).