How poverty is pushing families into divorce

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How poverty is pushing families into divorce

The divorce rate has stabilised among the middle class but is increasing among the poor, explaining why many separated fathers pay little or no child support.

A new study reveals that financial hardship is a major cause of family breakdown. Low-income parents are more likely than others to break up - and they remain poor after the split.

Most of the 700,000 fathers registered with the Child Support Agency pay little child support because their incomes are very low, says the study published in People and Place, the journal of Monash University's Centre for Population and Urban Research.

More than 40 per cent of the separated fathers in 2001 had a taxable income of less than $15,600. Most were unemployed or in marginal jobs. Overall, despite general economic prosperity, nearly 68 per cent of the separated fathers had incomes of less than $32,000.

As a result, their former partners also experienced desperate financial circumstances. Three-quarters of the mothers were raising children on annual incomes of less than $15,600 plus $2000 to $3000 in family tax benefits.

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The study says an estimated 90 per cent of separated parents are registered with the agency. Unless registered, women cannot get the federal government parenting payment.

Bob Birrell, a co-author of the study, Financial Outcomes for Parents After Separation, said: ``People think the agency acts in a draconian way to take money out of the pockets of men. The reality is most separated and divorced blokes are on such low incomes, they pay very little towards the wellbeing of the mother and their children.''

The study traced the financial fortunes of 45,750 men and their former partners, including de factos, over four years.

Forthcoming research by Dr Birrell sheds further light on the surprisingly high proportion of separated fathers and mothers on low incomes.

It shows that in 2001, 11 per cent of men aged 35 to 39 who had ever been married, and were on incomes between $52,000 and $78,000, were divorced or separated; but 25 per cent of those on incomes under $15,600 had experienced marriage breakdown.

As well, there was a high rate of breakdowns among de facto couples with children a group that also tends to be low income.

Dr Birrell said: ``A significant minority of people are casualties of low and insecure incomes. The men are not attractive as marriage partners but if they do form relationships, the financial situation contributes to tensions ultimately relationship breakdown.''

The published study with Jerry Silvey of the Child Support Agency also found that the vast majority of separated mothers remained poor even when their former partners' incomes improved.

But it found no evidence to support anecdotes that many separated fathers artificially lowered their income to avoid paying child support. Many of them remained poor over years. For the mothers and children, this meant child support payments were as low as $920 a year for one child or non-existent.

Many men had not kept up payments. But a father on $15,600 would have only $13,000 to live on after paying the required child support and tax, the study says.

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