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Renumeration Package or Taxable Income?

My husband was wondering if CSA will use his total renumeration package amount or the taxable income amount. Also he is salary sacrificing a vehicle, will this affect anything.

Hello all,

My husband was wondering if CSA will use his total renumeration package amount or the taxable income amount. Also he is salary sacrificing a vehicle, will this affect anything. Cheers
If a CSA customer wishes to apply for the other customer's salary sacrificed components to be included in a child support assessment prior to 1 July 2009, they will need to do so through the Change of Assessment (COA) process. The Child Support Agency (CSA) has always had the ability to consider salary sacrifice arrangements through the COA process when determining a customer's income and financial resources. The changes from 1 July 2009 allow the CSA to include salary sacrificed superannuation contributions as part of a customer's child support income, without the need to apply through the COA process. Please review the posts at this link and more in the child support forums
 
In respect to the posts at the link I have published it should be noted that a CSA customer's COA application will not necessarily be successful simply because they have become aware that the other customer may have salary sacrificed a portion of their income in previous years. Many Payees have never been aware in the past of other income types and have relied on tax returns or other evidence, however the rules are changing to show these sorts of packages on the employee earnings declaration form and thus any "below the line" earnings are now declarable for purposes of CSA earnings (Tax deductibility / Income tax is different).  You will see the ATI (Adjusted Taxable Income) if you mouse over the ? on the results pages of the calculators.

As with any other COA decision, if one of the reasons is established, the CSA must also consider whether changing the assessment would be 'just and equitable' and 'otherwise proper'. We have our own views about the whole COA process which is currently under review and there are forums here that are collating ideas to put forward. Feel free to contribute to those. Your financial taxation advisor / accountant will know all of this and much more.

Executive Secretary - Shared Parenting Council of Australia
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thanks for that info but doesnt answer any information regarding csa using the whole renumeration package or just adjusted taxable income...
Click on the "NEWS" button at the top of the page.

See the section "Child Support"

Then read through the article on Superannuation and Child Support. You will find the following passage:

The Paragraph said
These changes will affect both paying and receiving parents equally. Compulsory super payments, such as employer contributions under superannuation guarantee requirements, will not be considered part of a parent's child support income. The changes will only apply to voluntarily sacrificed payments.
I believe the purpose is so that people reducing their taxable incoming by voluntary salary sacrifice have it added back to reflect their true taxable income. It would appear the compulsory component is exempt.

Cars are another matter. If the car was salary sacrificed during the marriage and was discussed as part of the settlement you should be ok. If the car came after the separation or divorce, that would be another matter. This has always been the case and nothing to do with the new super/CSA changes.

Junior Executive of SRL-Resources

Executive Member of SRL-Resources, the Family Law People on this site (Look for the Avatars). Be mindful what you post in public areas. 
HubbyPays, as far as I understand, they are only talking about salary sacrificing superannuation, which will show up on the group certificate at the end of the financial year in 2010. My understanding is that employers are not required to mention the vehicle salary sacrifice…..Someone correct me if I am wrong…
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