How Did the Cost of Raising This Child Become Nothing? – Case 123

This is case study number 123

This is Beth’s Story:

Beth – Tell us about what is going on with your situation?

My partner and I have 2 small children together and his daughter from a previous relationship lives with us.

The paying parent has never made regular payments and has arrears of over $10,000.00 under the old system.

I doubt we will ever get this money.

Under the new rules, the child support obligation of the paying parent is now zero.

I believe this is because the paying parent has started up their own business in their new partners name and is therefore able to tell IRD that their income is less than the living allowance.

So as long as the paying parent can hide their true income behind a business in their partners name, they can get away with a zero assessment.

The paying parent and their new partner have no children.

Its totally unfair when my partners wage and my part time wage support all 5 of us as well as the ongoing transport costs to get the child to see the other parent. Why shouldn’t they pay anything for their child? Under the old scheme you at least had a minimum CS payment.

My wages help support this child (and I don’t mind that) but why should the other parent get away with paying nothing?

Out of interest, I used the IRD calculator to see what we would be paying if the child didn’t live with us.

Bit of a shock that we would have to stump up over $500.00 per month.

That would ruin us financially.


How much did you receive on the old formula?


On the NEW formula what will that amount be per month?


Are you happy with the new formula?


What are your main reasons for being not happy with it?

How can we go from having an assessment of $456.56 to zero?

How did the cost of raising this child become nothing?

Why are partners no longer included in the living allowance?

Many families have one parent stay home when children are very young and we should be allowed to care for our children this way if we choose – we are not collecting a benefit.

Under this new way, I may need to increase my hours and spend less time with my family to make sure we have enough.

If child support was a set amount per child split between both parents for the basic necessities, what do you think is a fair amount per month per child?


What else would you like to say?

What kind of madness is this? As far as I can see, all that the changes have done is make life even harder for families.

Beth – Thanks for sharing with us.

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