Paternity Testing

How does child support work? Child support is money that one parent pays to the other, when they have children together but are no longer in a relationship. The amount paid depends on the incomes of both parents and how much time the child(ren) spend with each parent on a month by month basis.  Child support is intended as a ‘balancing’ payment in order to equalize the cost of raising a child between parents. It aims to ensure that one parent is not unfairly disadvantaged by bearing a disproportionate share of the financial responsibilities associated with childcare.   There are three different ways to arrange child support Private Arrangement: The parents mutually agree on the details of child support between themselves, including who will pay, the amount, and the payment schedule. Since Inland Revenue (IRD) is not involved, this arrangement is not legally binding.  Voluntary Agreement: The parents agree on the details of the child support payments and register the agreement with the IRD, which then arranges the payments.  IRD Formula Assessment: Generally either parent can apply to IRD to determine the child support details and arrange the payments. This is the best option to choose when a parent is refusing to contribute voluntarily, ensuring that the financial responsibilities are fairly distributed. IRD Formula Assessment The IRD will consider a number of things when they do a formula assessment: A “living allowance”: this is your costs in supporting yourself; Any relevant “dependent child allowance”: this takes account of any children you have with your current partner (in other words, the costs of raising your other children who aren’t covered by child support); and  Any relevant “multi-group allowance”: this takes account of any children from another ex-partner that you have to pay child support. The purpose of this allowance is to make sure you’re able to pay for all your children who are covered by child support.  The IRD calculates each parent’s income, referred to as your “child support income,” by starting with your taxable income (before-tax income) and making specific deductions. IRD then compares the child support incomes of both parents. The difference between these incomes is used to determine who is responsible for paying child support, taking into account the difference in care costs.  You can use this calculator to estimate the amount of child support you may receive or pay, based on an IRD Formula Assessment.  Liable parents who are new to child support and earn salary or wages, will have child support payments deducted by their employer. The IRD will let their employer know how much to deduct and when. If the liable parent does not receive salary or wages, they can set up an automatic payment or direct debit.  If your income has changed you can ask IRD to take this into account. You can read more about how child support is calculated here.  Important things to remember Your new partner’s income isn’t taken into account for child support purposes, because they don’t have any legal responsibility to financially support your children. A parent might also pay child support to a non-parent carer – for example, Oranga Tamariki or a grandparent - who provides a significant proportion of the child’s on-going daily care.  It is important to remember that child support is a separate matter to child care arrangements, the IRD does not deal with child matters other than child support.  Parents should not use child support as a ‘bargaining tool’ when organizing care arrangements.  IRD child support debt remains even after the child turns 18 and is not discharged through bankruptcy. Private child support arrangements may be more favourable than those managed through the IRD, but it’s important to remember that these private agreements are not legally binding. Spousal agreements can include child support arrangements. You can talk to our specialist team today about organizing a private child support agreement. 

When separated parents have differing views on vaccinating their children, it can be a challenging situation. Both parents usually share the responsibility for making important decisions about their child\'s upbringing, including medical treatments like vaccinations. The primary consideration in regard to medical treatment is always what is in the best interests of the child, which includes their health, safety, and well-being.  If parents cannot agree, they may need to seek a resolution through the Family Court. The court will consider the child\'s best interests and may take into account the child\'s views, especially if the child is mature enough to express them.  Generally, the older the child, the more weight should be given to their views, both in and out of court.  Before going to court, parents are often encouraged to try mediation to reach an agreement. Mediation can help parents communicate and find a compromise that works for both parties and the child. However, mediation is only appropriate if there has not been a history of family violence. For example, you do not have to mediate if you have a protection order against the other parent. (Find out more about protection orders here: Protection Orders).  What is Guardianship? The Care of Children Act 2004 (“COCA”) defines guardianship as having all duties, powers, rights and responsibilities that a parent of the child has in relation to the upbringing of the child.  An exercise of guardianship of a child means determining for or with the child, or helping the child to determine, questions about important matters affecting the child. An important matter affecting the child includes, amongst other matters, medical treatment which is not routine in nature. Guardians are required by law to act jointly, by consulting with each other wherever practicable with the aim of securing agreement.   Vaccination has been held by the Courts to be non-routine medical care and is therefore a guardianship decision. This means that one parent/guardian cannot lawfully make a decision on their own as to whether their child is to be vaccinated without consulting with the other parent.  Guardianship responsibilities are a separate matter to care arrangements for the child. It is important to remember that the parent/guardian who has day-to-day care does not have a greater say on guardianship matters than any other parent/guardian of that child. Both (or all) guardians have an equal say. The value of wānanga It is natural to have concerns about the safety of a vaccination, particularly in an era of widespread misinformation. It is important that everyone can access reliable information about the vaccine in order to make the best decision for their own health, as well as their whānau, family and communities. In many situations, engaging in wānanga, an open discussion with others about experiences, questions, fears and reservations, with a level of curiosity can resolve differences in views.  Regardless, it is important to advise other parents or guardians of any scheduled vaccination and also once such vaccination has taken place. Parents/guardians should not act unilaterally in making decisions about vaccination for their children and must consult with the other parent/guardian(s).  If you find yourself facing the difficult circumstances described above, the Family Law team at Holland Beckett would be happy to assist you in reaching resolution of the matter. 

Contracting Out Agreements (often referred to as prenuptial agreements) are often viewed quite negatively. They can be seen as having one foot out of the door in a relationship. However, Contracting Out Agreements can be powerful tools to help you and your partner cement your intentions for how your property is dealt with when you die thus preventing a future argument between families. A Contracting Out Agreement is not just for separating couples - it can assist to ensure your wishes are upheld upon death. When you pass away with a Will, your partner has two options; they can chose to follow the terms of your Will pursuant to the Administration Act 1969 (“Administration Act”) or they can make an election under the Property (Relationships) Act 1976 (“PRA”) to have their share of relationship property determined. Why does this matter? This matters because modern relationships are complex. For a multitude of reasons you may not intend to leave your partner 50% of your property upon death. For many of our clients in second relationships, they want to provide for their partner, but they want the majority of their estate to go to their children from their first relationship. The option for partners to elect whether or not to follow your Will, can take control of your property out of your hands leaving what you may see as an unfairness to your children. This is why a Contracting Out Agreement can be such a powerful tool. With a Contracting Out Agreement in place, even if your partner elects a determination for a division of your estate in line with the PRA, they are bound by the terms of the Contracting Out Agreement which determines which assets are in the pool for division and which are out. What does a Contracting Out Agreement do? Under the PRA there is a presumption that upon death or separation your partner is entitled to an equal share of the relationship property. This legislation will apply to you unless you elect to “opt out” by entering into a Contracting Out agreement whereby you and your partner reach your own agreement on what property will be determined separate property and what will be relationship property. Without a Contracting Out agreement relationship property includes: The family home; The household chattels; Vehicles used for family purposes; That share of Kiwisaver or other superannuation policies accrued during the relationship; Your income; and Anything else acquired during the relationship or used for your shared life together. A Contracting Out Agreement is capable in most circumstances of mirroring the terms of your Will. It has the capacity to be very specific. Not only can you dictate which property belongs to which partner and their estate, you can also make special provisions for your partner upon separation or death. An example of this is in circumstances where you want the family home to pass to your children or some other third party upon death, you can still provide your partner with a qualified life interest in the home. You may decide, for example, that you wish for your partner to continue living in the home for a specific period of time (or the rest of their life) but as soon as they move out, start a new relationship, or die, the home will pass to your beneficiaries in accordance with your Will. A Contracting Out Agreement is a flexible tool capable of reflecting your Will. How do we make a Contracting Out Agreement? A Contracting Out Agreement is a binding legal document. Like most legal documents, there are specific procedures that must be followed to make sure your document is enforceable. For your Contracting Out Agreement to be valid and legally enforceable you will need to: Record the agreements reached in writing; Receive independent legal advice; and Have your signing witnessed by a lawyer. You and your partner will need different lawyers. Once you have engaged a lawyer, you can share your intentions for how you want your relationship property to be divided and any specifications for what you want to happen upon death. Lawyers can assist you and your partner to make sure you are both adequately provided for. If you have concerns about how your estate will be distributed when you die, we recommend that you discuss matters with your partner and get some advice. Furthermore if you already have a Will or a Contracting Out Agreement, we recommend that you review the terms of these documents regularly to ensure they still reflect your intentions and your circumstances.Talk to the Holland Beckett Family or Succession and Estates team for more information. This article was first published for First Mortgage Trust newsletter, April 2025.