Costs of the child
Costs of the child are the formula’s estimate of what it takes to raise children. The figure does not come from your actual spending. It is set by the Costs of the Children Table.
The cost table determines the cost of raising children based entirely on combined child support income, the number of children, and their ages. It was designed based on historical spending patterns by intact families.
Definition
A particular object of the CSA Act is that the level of financial support to be provided by parents for their children should be determined in accordance with the costs of the children.
The Costs of the Children (COTC) Table calculates the costs for:
- the costs for a relevant dependent child amount
- the multi-case child costs, and
- the costs of the children in the assessment.
The costs for a relevant dependent child amount and/or multi-case child costs are calculated to ensure a parent’s financial responsibility to support other children is recognised when their child support income is calculated. The costs are calculated based on the income of the parent, and the number and ages of the relevant children.
The costs of the children in the assessment are calculated to determine how the costs of each child in an assessment will be shared by both parents (either by care and/or the payment of child support). The costs are calculated based on the combined income of the parents or the income of one parent if the other parent’s income is not available. The costs are also based on the number and age of the children.
Definition source: Guides to Social Policy Law, Child Support Guide, Version 4.97, released 20 March 2026, 1.1.C.210 Costs of the child.
Role in the formula
The Costs of the Children Table converts income into a single dollar figure. The inputs are fixed: combined child support income, number of children, and their ages. The table reflects what families at different income levels have historically spent on their kids as a share of income.
The table is structured in income bands linked to fractions of annualised Male Total Average Weekly Earnings (MTAWE). As income rises, child costs increase at a declining rate until they reach a cap at 2.5 times MTAWE. Beyond that point, the costs of the children do not increase further.
Once worked out, the child costs are split between the parents. Each parent meets their share either through care or through payments, based on their child support percentage.
How the table scales child costs
To use the table, match the parents’ combined child support income to the income band, then match the number of children and their ages. The table then gives the child costs for that combination. In 2026, the annualised MTAWE was $93,137.
The full annual dollar tables then convert those percentages and income ranges into the actual costs of the child used in an assessment. For most parents, the key point is simple: more combined child support income usually means higher child costs, but only up to the statutory cap.
Example
Two parents have a combined child support income of $90,000 and two children under 13. The Costs of the Children Table places them towards the top of income band 2 and in the 0-12 age category with 2 kids. Percentages of 24% and 23% apply to the lower bands in this case, meaning the costs of children will be roughly around 23.5% of $90k, which is equal to $21,150.
If one parent has a higher income share, they carry more of that cost. If they also have less care, more of their share is paid as child support rather than met directly.
What if combined income is zero?
It is common for combined child support income to be zero or close to zero. Each parent’s income is reduced by the self-support amount before the calculation begins, which can bring the combined figure down to nil.
When combined income is zero, the Costs of the Children Table produces a zero cost result. There are no child costs to apportion under the standard formula. In these cases, liability can still arise through fixed or minimum annual rates rather than the formula outcome.