Centrelink deductions used to collect child support debts 277-04070000
This document explains details about Centrelink deductions:
- how they are automatically/manually applied
- how they are ended and when they are no longer appropriate
- how to action Centrelink deduction related intrays, and
- whether it is appropriate to reduce the amount collected from a customer’s Income Support Payment (ISP) for their child support debt.
Centrelink deductions for child support debts
Child Support can request Centrelink deduct and forward money from a customer's Centrelink pension, benefit or Parental Leave Payment (PLP) to pay a child support debt.
Centrelink deductions:
- are an efficient way to collect child support from customers and serves both as:
- an enforcement avenue, and
- a convenient way for customers to pay child support
- save the time and expense of some alternative methods of payment
Centrelink deductions start automatically for customers who are payers with a child support debt where they meet certain requirements. There is also a manual process to start Centrelink deductions.
ISP deductions
Customers who receive an ISP and who have a child support, the payment is calculated based on 3 x minimum annual rate of child support.
Customers assessed to pay 3 x minimum annual rate of child support (or more) are not eligible to apply for a concession because the entire deduction will be used to meet the ongoing liability.
When the ISP concession applies
An ISP customer can apply for a concession to the amount deducted if they are having difficulties meeting other necessary expenses, and
- are assessed to pay less than 3 x minimum annual rate of child support, and
- the maximum deduction is being made to recover debt
Other available support material/services
If a customer applies for an ISP concession, they may benefit from external support services such as social worker and other service referrals for Child Support customers or support, see the link to Payment and Services Finder on the Resources page to offer tailored referrals.
See Products and services Cuba Process Help to record the offer of a product/service or to forward support material.
The Resources page contains information about the ISP concession criteria details/values and how the concession is impacted by ongoing liabilities.
Related links
Centrelink - Child Support information exchange
Child Support estimates (Post 1 July 2010)
Child support overpayments and other payee debt
Contact with Child Support customers
Court varied assessments (CVA) including lump sum orders
Documenting Child Support information
Employer Withholdings (linking) for Child Support customers
Income processing for Child Support customers
Recovering a Child Support debt from a Family Tax Benefit (FTB)
Stage 1 - low-income non-enforcement (LINE) period
Technical support in Child support
Centrelink Deductions Cuba Process Help
Intray management Cuba Process Help
Payment arrangements Cuba Process Help
Client Benefits Window Help
Client Profile Window Help
Customer Window Help
External Information Window Help
Individual Customer Details Window Help
Payment Arrangement - Client Window Help
Payment Options Window Help
Recovery Conditions Window Help