What is a Non-Agency Payment?

A Non-Agency Payment (NAP) is money the paying parent spends directly on the child or on the receiving parent's household — not transferred through Services Australia's child support collection — that the paying parent then asks Services Australia to credit against their child support liability. School fees, uniforms, certain medical items, and even rent or mortgage payments on the receiving parent's home can qualify. The credit reduces what the paying parent still owes through the formula.

What's the difference between "prescribed" and "non-prescribed" NAPs?

Prescribed NAPs are payments in specific categories listed in the Child Support legislation (school fees, child care, essential medical/dental, housing for the receiving parent's home, utilities, motor-vehicle costs for the child's transport, school uniforms, some clothing). These can be credited up to 30% of the child support liability EVEN IF the receiving parent disagrees — provided the paying parent has receipts and the payment falls into one of the prescribed categories. Non-prescribed NAPs are anything else (e.g. extracurricular fees, birthday presents, holiday costs) and only count if BOTH parents agree they were made for the child.

Is there a cap on how much can be credited?

For prescribed NAPs without the receiving parent's agreement, the credit is capped at 30% of the paying parent's child support liability for the period — the formula assessment still needs to be at least 70% paid through Services Australia. If both parents AGREE, there's no 30% cap — up to 100% of the liability can be settled through NAPs. So if you have a cooperative ex, you can run a lot of CS through receipts; if you don't, 30% is the ceiling.

What evidence do I need to claim a NAP?

Receipts, invoices, or bank statements showing the payment, who it was paid to, what it was for, and the date. For school fees — a school invoice in the child's name. For housing — a tenancy agreement or mortgage statement plus payment evidence. For medical — receipts itemising the service and the patient. Services Australia treats verbal claims as no claim — documentation IS the case. Keep digital copies for at least 4 years.

How do I actually claim NAPs?

Through Services Australia — either via your myGov Child Support Online account ("Tell us about a payment you made") or by phoning the Child Support line (131 272). You submit the payment details, the category, and upload the receipts. The other parent gets a chance to respond, then Services Australia decides whether to credit it. Decisions can be reviewed (28 days for internal review, then AAT). NestWise's CS Expense Tracker tags receipts as "NAP-eligible" at intake so they're ready to submit.

Can the receiving parent stop me claiming NAPs?

Only outside the prescribed categories. For prescribed-category payments with receipts, Services Australia can credit up to 30% even over the receiving parent's objection — that's the legislative protection for paying parents. For non-prescribed categories, the receiving parent's agreement IS the credit; without it, the payment is just a gift and doesn't reduce the assessment. This is why it pays to keep payments inside the prescribed categories where possible.

Non-Agency Payments (NAPs) — how to get credit for child-related spending against your child support

If you pay child support and you also spend directly on the child — school fees, uniforms, rent for the kid's home — those payments can be credited against your assessment as Non-Agency Payments. The 30% cap, prescribed vs non-prescribed, and the documentation that holds up.

A Non-Agency Payment is a direct payment a paying parent makes for the child's benefit — outside Services Australia's collection system — that Services Australia then credits against the child support owed. Pay your child's school fees directly to the school? That's a NAP. Pay the rent on the house your ex and the kids live in? That's a NAP too. The point is to recognise that families often spend on children outside the formal transfer — and to make sure that spending still counts toward the obligation rather than being wasted as "extra" on top of the formula assessment.

But NAPs come with rules. There's a 30% cap if your ex objects. There are prescribed categories that get protection and non-prescribed categories that don't. And the whole system hinges on documentation — receipts, dates, payees. This guide explains how the system works and what to track.

When NAPs matter

NAPs matter in three common scenarios:

You pay school fees directly to the school, instead of transferring extra cash to your ex. The school issues an invoice in the child's name, you pay it, and you want that to count toward your CS liability.
You pay the rent or mortgage on the home your kids live in (often the case in transitional separations where one parent stays in the family home with the kids).
You pay for big-ticket items (uniforms at the start of the school year, orthodontics, a school camp) and want the cost recognised rather than sitting on top of monthly CS.

In all three, the money is real and the kid benefits. The NAP framework is how Services Australia treats that reality fairly — instead of forcing every dollar to flow through the CS account.

Prescribed vs non-prescribed — the key distinction

Services Australia divides NAPs into prescribed and non-prescribed categories. The difference matters a lot.

Prescribed categories

These are payments in categories specifically listed in child support legislation. The categories cover the major direct-spend types families typically incur for kids:

Child care fees (formal CCS-eligible services)
School fees, school uniforms, school books, school excursions
Essential medical and dental items (not cosmetic)
Housing costs — rent or mortgage payments for the receiving parent's home (where the child lives)
Utilities — electricity, gas, water for that home
Motor vehicle costs — running costs of the receiving parent's vehicle used to transport the child

(Services Australia maintains the authoritative list — check here before claiming. The list has been stable for years but legislation can shift.)

For prescribed payments, the paying parent can ask Services Australia to credit up to 30% of their child support liability EVEN IF the receiving parent disagrees — provided receipts show the payment, the payee, and the category. The remaining 70% must still flow through normal collection.

Non-prescribed categories

Anything outside the prescribed list — extracurricular fees, sports gear, birthday presents, holiday costs, restaurant meals during your time, weekend activities. These can ONLY be credited as NAPs if both parents agree. If your ex doesn't agree, a non-prescribed payment is just spending — it doesn't reduce your CS liability.

The 30% cap and how to escape it

The 30% cap is the headline number for paying parents to know:

Without your ex's agreement → maximum 30% of your liability can be settled via prescribed NAPs.
With your ex's agreement (any category) → up to 100% can be settled via NAPs. The formal CS transfer can effectively be zero.

The latter is rare in high-conflict separations but common in lower-conflict ones where both parents trust each other on direct spending. If you and your ex can agree on a clear "you cover X, I cover Y" plan, you can use the NAP system to reflect that — Services Australia adjusts the collection accordingly each period.

Documentation that holds up

Services Australia treats undocumented NAP claims the same as no claim at all. The minimum bar for any payment:

Receipt, invoice, or bank statement showing the payment
Date of payment
Payee (the school, the landlord, the doctor)
Purpose linkable to the child (the school invoice in the child's name; the medical receipt for the child by name; the lease showing the receiving parent + children at that address)

For housing claims, you'll also want to show the lease or mortgage statement establishing that you're the one paying for the home the kids live in. For utility claims, the utility bill in your name (or paid by you) plus proof the children live there.

Keep digital copies — Services Australia can request them years after the period and there's no statute of limitations on retrospective NAP claims while the assessment is still open. NestWise's CS Expense Tracker tags any expense whose cs_class is "nap" at intake so you have the receipt + date + category lined up if you later need to submit.

How to actually claim a NAP

The mechanics are straightforward but slow:

Submit through myGov ("Child Support" service → "Tell us about a payment you made") or call 131 272.
Provide payment details — date, amount, payee, category, what it was for, evidence.
The other parent is notified and given a chance to respond (typically 14–28 days).
Services Australia decides whether the payment qualifies as a NAP, in which category, and at what proportion.
The credit is applied to your next CS period or back-applied if appropriate.

A decision can be internally reviewed within 28 days (request reasons in writing) and then taken to the Administrative Appeals Tribunal if you still disagree. The AAT is independent of Services Australia and free to apply to.

Common mistakes paying parents make

Verbal agreements with the ex. "She said I could pay the school fees instead" doesn't survive a future dispute. Get it in writing — even a SMS or email saying "OK" preserves the agreement.
Paying the ex directly instead of the payee. Transferring $2,000 to your ex with "school fees" in the reference doesn't establish a NAP — it looks like ordinary child support. Pay the school directly.
Mixing periods. NAPs are credited to the period in which the payment was made — keep dates clean and submit promptly. Don't sit on six months of receipts then claim them in a lump.
Missing the 30% cap. If you're spending more than 30% of your assessment through receipts without your ex's agreement, the excess won't reduce CS — it's just extra spending on top.
Claiming non-prescribed items as prescribed. Birthday presents, holiday meals, weekend activities aren't on the prescribed list — they need your ex's agreement to count. Submitting them as prescribed wastes everyone's time and damages your credibility with the next claim.

How NestWise helps

The CS Expense Tracker in the Child Support tool (Track CS expenses) classifies every expense as one of three CS classes:

agreement_covered — already inside your private agreement or court order
nap — Non-Agency Payment eligible (prescribed category, with receipt)
direct — direct payment without NAP framing (doesn't reduce CS)

The tracker keeps FY-aware totals and tags receipts so when it's time to submit a NAP claim, your evidence is ready. Importantly, we don't submit the claim for you — Services Australia requires the paying parent to lodge directly. We just make the paperwork shorter.

See how the CS Expense Tracker handles NAPs →