A Parent's Guide to Section 7 Expenses in Ontario

When you’re navigating a separation or divorce, child support can feel like a complex puzzle. You’ve likely heard about the standard monthly payments, but what about all the other costs that come with raising a child? That’s where Section 7 expenses come into play.

In Ontario, Section 7 expenses are costs that go above and beyond the everyday needs covered by regular, monthly child support. They’re often called “special or extraordinary expenses” for a reason. These aren’t for the day-to-day stuff; they’re for specific, significant costs like orthodontics, post-secondary education, competitive sports, or essential childcare.

Crucially, these expenses are shared by parents in addition to the base child support amount, ensuring both parents contribute fairly to the bigger-ticket items in a child’s life.

Beyond the Basics: What Are Section 7 Expenses, Really?

It helps to think of it this way: regular child support is like the household’s weekly grocery budget. It’s meant to cover the predictable, recurring costs of raising a child—things like food, shelter, a basic clothing allowance, and getting to and from school.

Section 7 expenses are for the things that aren’t in that weekly budget. They’re the specific, often larger, costs that crop up. So, if regular support covers the groceries, a Section 7 expense might be the cost of braces that your child suddenly needs, or the fees for the travel hockey team they just made.

The whole point of Section 7 is to acknowledge that raising kids costs more than just the basics. Ontario’s family law framework makes sure both parents continue to share in these significant financial responsibilities, even after they’ve separated.

The Two Critical Tests Every Expense Must Pass

Hold on, though—not every extra cost automatically qualifies. To be considered a legitimate Section 7 expense, it has to pass a crucial two-part test laid out in the federal Child Support Guidelines. Think of this test as the gatekeeper; it keeps disagreements from getting out of hand by setting clear ground rules. It’s a bit like how having clear traffic laws prevents chaos on the roads. In a similar way, legal frameworks can bring clarity to complicated scenarios, something you can see in our guide on what is no-fault insurance in Ontario.

Any judge or mediator will look at a proposed expense through this two-part lens:

• Is it necessary for the child’s best interests? “Necessary” here doesn’t just mean life-or-death. It means the expense is genuinely important for the child’s health, well-being, or development.
• Is it reasonable, considering the family’s financial situation? This is a big one. The court looks at what the parents can realistically afford based on their combined income and the family’s lifestyle before the separation. An expensive ski camp might be perfectly reasonable for a high-income family but deemed unreasonable for another.

The goal of Section 7 is to ensure the child’s life remains as stable as possible. It aims to provide them with the same opportunities they would have had if the family were still together, balancing the child’s needs with the parents’ ability to pay.

Understanding this dual test of “necessity” and “reasonableness” is the foundation. Before you can even begin to discuss whether a cost like tutoring or summer camp qualifies, you have to see if it can clear these two essential hurdles first.

The Two-Part Test: Necessary and Reasonable

So, how does an everyday cost for your child become an official “Section 7 expense” that both parents have to share? It’s not as simple as just showing a receipt. In Ontario, any potential expense has to pass a crucial two-part test that a family court will apply.

Think of it like getting through two security gates. The expense has to clear the first gate (“is it necessary?”) and then the second gate (“is it reasonable?”). If it fails at either one, it doesn’t qualify.

Gate #1: Is the Expense Actually Necessary?

When the Child Support Guidelines talk about something being “necessary,” they don’t just mean life-or-death essentials. Basic needs like food and a roof over their head are already covered by the regular monthly child support payment.

Instead, “necessary” is all about what’s in the child’s best interests. It’s about what will genuinely help them grow, develop, and be happy. A judge will look at your specific child and their unique situation.

For instance:

• Private tutoring probably isn’t necessary for every child, but for a kid with a diagnosed learning disability, it absolutely could be. It helps them keep up and not fall behind.
• Physiotherapy after a soccer injury isn’t a “nice-to-have”; it’s necessary for their physical recovery and well-being.
• A specialized camp for a child struggling with social anxiety might be deemed necessary for their emotional health and development.

The whole point is to connect the expense directly to a real, identifiable need your child has. It’s never about what a parent wants for them, but what the child truly needs to thrive.

Gate #2: Is the Expense Reasonable for This Family?

Once an expense is deemed necessary, it has to pass the second test: is it reasonable? This is where the family’s financial reality comes into sharp focus. The court tries to ensure the child’s standard of living doesn’t plummet after separation, but it also won’t impose a cost that would create an unfair financial strain on parents who are now supporting two homes.

A judge will look at the parents’ combined income, their individual financial circumstances, and importantly, the family’s spending patterns before the separation. What’s reasonable for a high-income family could be completely out of reach for another.

Let’s say a child is a gifted hockey player. Enrolling them in a competitive league costing $10,000 a year might be perfectly reasonable if the parents have a combined income of $300,000 and this was the norm while they were together.

But for a family with a combined income of $90,000, that same $10,000 expense would almost certainly be seen as unreasonable. It would likely cause undue financial hardship, and the court would reject it.

Putting It All Together: A Real-World Example

Let’s walk through a common scenario. A parent wants to sign up their 10-year-old for an advanced coding class that costs $300 a month.

1. Is it Necessary? The parent shows the child’s report card, where they’re acing math and science. They bring a note from a teacher who recommends an advanced program to challenge the child and foster a clear talent. A court would likely agree this is necessary for the child’s intellectual development.

2. Is it Reasonable? The parents’ combined income is $150,000. While they were together, they often spent money on things like science camps and educational programs. Given their income and history, a $300 monthly expense is probably manageable. It would likely be considered reasonable.

In this case, the coding class passes both tests and would qualify as a Section 7 expense.

Now, change one fact: what if their combined income was only $70,000? Even if the class is still deemed necessary, a judge might find the cost unreasonable. They might deny the request or suggest the parents find a more affordable alternative. When it comes to Section 7, context is everything.

What Counts as a Section 7 Expense in Ontario?

Now that we have a handle on the legal test—is the expense necessary and reasonable?—let’s get practical. It’s one thing to talk about legal theory, but it’s another to see how it applies to the real costs of raising kids.

The Child Support Guidelines give us a roadmap by outlining several categories of expenses that often fall under Section 7. These aren’t just line items on a legal form; they’re the everyday financial realities parents juggle. For many parents, a big piece of the puzzle is simply understanding child care expenses and how they fit into the bigger picture.

Let’s break down the most common expenses that can qualify for cost-sharing.

Childcare Costs

This is probably the most common and clear-cut Section 7 expense. If you need to pay for daycare, a nanny, or before-and-after-school care so you can work, go to school, or deal with a disability or illness, those costs are almost always shared.

The logic is simple: the expense is directly tied to a parent’s ability to earn an income or upgrade their skills to earn more in the future. We’re not talking about a babysitter for a Saturday night out; this is about the essential care that allows a parent to keep their job or get the training needed to support their family.

Uninsured Medical and Dental Expenses

OHIP is great, but it doesn’t cover everything. Section 7 is there to help bridge the gap for those necessary health costs that fall outside provincial coverage.

Here are a few common examples that often qualify:

• Dental and Orthodontic Work: Things like braces are a classic example. They are rarely covered by basic plans but are often crucial for a child’s long-term health and confidence.
• Prescription Drugs: If your benefit plan doesn’t cover the full cost of a necessary medication, the remainder can be a Section 7 expense.
• Therapeutic Services: This is a big one. It includes essential services like counselling, physiotherapy, speech therapy, and occupational therapy that help a child thrive.
• Vision Care: The cost of eyeglasses and contact lenses is another typical shared expense.

To qualify, a medical or dental expense usually needs to be more than $100 per year after any insurance payouts have been deducted.

Post-Secondary Education Costs

As kids head off to college or university, the expenses can skyrocket. These costs are often shared between the parents, but there’s also an expectation that the child will pitch in through scholarships, student loans, or a part-time job.

Shared costs aren’t just limited to tuition. They can also include:

• Tuition and other mandatory school fees.
• Textbooks, software, and other required supplies.
• The cost of living in residence or paying for reasonable off-campus housing.

A judge will consider what the family could afford and what the educational plans were for the child before the parents separated. This isn’t an automatic expense; it’s always decided based on the family’s unique situation.

Extraordinary Extracurricular Activities

This category is often where the most disagreements pop up. Why? Because the key word is “extraordinary,” and what one parent sees as extraordinary, the other might not. Not every hockey league or ballet class will make the cut.

So, what pushes an activity from a regular expense into an “extraordinary” one? A court will look at a few things:

• The Price Tag: A $200 fee for house-league soccer probably won’t qualify. But if your child is in a competitive hockey program with $8,000 in annual fees, plus travel, high-end equipment, and specialized coaching, that’s a different story.
• The Child’s Ability: Is your child just playing for fun, or do they show a special talent? An expense is much more likely to be considered necessary if it’s helping a gifted child develop their skills.
• The Family’s Past Choices: Was the child already enrolled in this high-level program before the separation? If so, it shows that the family had already decided this was a reasonable and worthwhile expense.

The difference is important: community sports are usually considered part of the day-to-day costs covered by base child support, while elite, expensive programs are where Section 7 comes in.

These expenses are more common than you might think. A comprehensive review of Canadian child support cases found that special expenses were part of the court order in 31.7% of cases. Childcare was the most frequent at 12%, with medical/dental premiums at 10.6% and extracurriculars close behind at 10.1%. It’s also worth remembering that if a child’s medical needs are the result of an injury, other financial help might be available. For instance, knowing about accident benefits in Ontario is critical if the health expenses are from a car accident.

How to Calculate and Share Section 7 Costs

Once you’ve agreed an expense is both necessary and reasonable, the conversation naturally turns to the numbers. So, who pays for what? The guiding principle for sharing Section 7 expenses in Ontario is refreshingly fair: proportionality.

This isn’t a simple 50/50 split. Instead, each parent contributes to the cost based on their slice of the total income pie. This system ensures the financial load is balanced according to what each parent can actually afford, preventing a lower-earning parent from being unfairly burdened.

The Proportional Sharing Formula

The math itself is pretty straightforward. It’s all about figuring out each parent’s percentage of the combined family income and then applying that to the actual out-of-pocket cost of the expense. The parent with the higher income will naturally cover a larger share.

Here’s how it breaks down, step-by-step:

1. Calculate Combined Annual Income: Start by adding both parents’ gross annual incomes together.
2. Determine Each Parent’s Percentage: Divide each parent’s individual income by the combined total. Multiply that number by 100 to find their percentage share.
3. Find the Net Expense Cost: This is a big one. You need to subtract any subsidies, insurance reimbursements, or tax deductions from the expense’s total cost. You only share the final amount that you’re truly paying out-of-pocket.
4. Apply the Percentages: Multiply that net cost by each parent’s percentage. This gives you the exact dollar amount each person is responsible for.

Key Takeaway: The entire calculation hinges on the net cost. It is absolutely crucial to deduct all applicable benefits or government subsidies before you start splitting the bill. If you miss this step, someone is going to overpay.

This diagram highlights the top three expense categories where these calculations come into play most often.

As you can see, childcare, medical bills, and extracurricular activities are the usual suspects when it comes to sharing these extra costs.

A Practical Calculation Example

Let’s walk through a common scenario to see how this works in the real world. Imagine an annual expense of $2,000 for your child’s orthodontist, after all insurance claims have been paid.

Here’s a table showing how you’d calculate the split based on income.

Sample Section 7 Expense Calculation (Proportional Sharing)

Calculation Step	Parent A	Parent B	Total
Gross Annual Income	$90,000	$60,000	$150,000
Income Share (%)	($90k / $150k) = 60%	($60k / $150k) = 40%	100%
Net Expense to Share	-	-	$2,000
Contribution Amount	$2,000 x 60% = $1,200	$2,000 x 40% = $800	$2,000

In this case, Parent A is responsible for $1,200 of the orthodontic bill, while Parent B covers the remaining $800. This method keeps the contributions fair and directly tied to each parent’s financial reality.

This proportional sharing model is quite common. Government of Canada data shows that courts ordered special expenses in 31.2% of Canadian cases. Interestingly, this number climbs dramatically with income—from just 11.5% for the lowest-income families to a significant 59.5% for those earning over $150,000, who are simply better positioned to afford these extras. You can dig deeper into these statistics in the full government report.

Smart financial planning can make managing these shared costs much easier down the road. While separation agreements are essential for post-relationship finances, many couples now plan for these possibilities before even getting married. For more on this, take a look at our guide on prenuptial agreements in Canada.

The Critical Role of Documentation and Proof

When it comes to sharing Section 7 expenses in Ontario, the old saying holds true: if you can’t prove it, it didn’t happen. In family law, a claim without solid evidence is just an opinion, and opinions don’t hold up in court or during a tough negotiation.

Think of it this way: you wouldn’t walk into a courtroom and just tell a judge what happened without any evidence. You’d bring documents, photos, and witnesses. The same logic applies here. Proper paperwork is what turns a potential argument over a child’s expenses into a simple, undeniable financial transaction. It’s the foundation of a successful claim and your best defense against future disputes.

Building Your Evidence File

The single most important thing you can do is maintain a detailed and organized file for every single Section 7 expense. Your goal is to create a crystal-clear paper trail that leaves absolutely no room for doubt.

For each expense you’re claiming, your file should contain:

• Official Receipts and Invoices: These need to be the real deal, showing the date, the vendor’s name, a description of the service or item, and the total cost. A simple credit card statement just showing a dollar amount often isn’t enough.
• Proof of Payment: This is where you show the money actually left your account. It could be a bank statement highlighting the debit, a copy of a cleared cheque, or an e-transfer confirmation that clearly references the specific invoice.
• Registration Forms or Agreements: For things like competitive hockey, specialized camps, or tutoring, the registration paperwork proves your child was enrolled and details the fees involved.
• Written Communication: This is a big one. Keep copies of any emails or texts where you and the other parent discussed and agreed to an expense before the money was spent. This is crucial for shutting down any claims that you made a unilateral decision.

An unproven expense is an unpaid expense. The parent who paid the cost and is seeking reimbursement always has the responsibility to provide clear, complete, and timely proof.

Common Mistakes to Avoid

One of the biggest pitfalls is a parent paying for a significant expense without talking to the other parent first. Even if an expense feels completely necessary and reasonable to you, surprising your ex-partner with a bill after the fact is a recipe for conflict. They may refuse to pay, and a court might not look kindly on a parent who consistently fails to give advance notice. It’s seen as unfair to the parent who is expected to pay but had no chance to budget for the cost.

If you’re juggling a lot of paper receipts, consider using tools that can convert images of receipts into editable data to make organizing everything much simpler. Staying on top of this is vital, especially when you see how common these costs are. Justice Canada surveys show that in Ontario, childcare is the most frequent special expense, appearing in 23.3% of cases. Medical premiums and other health-related costs also make up a huge portion of these claims. These aren’t small numbers—they represent a real financial impact on families.

Navigating Disagreements and Seeking Legal Advice

Even when you know the rules for Section 7 expenses in Ontario inside and out, that doesn’t mean you and your co-parent will always see eye-to-eye. It’s one thing to understand the legal tests for an expense; it’s another thing entirely to convince your ex that your child’s competitive hockey fees are “necessary” or that a particular math tutor is “reasonable.”

These disagreements can be incredibly frustrating. They can stall payments, ratchet up the tension, and, worst of all, negatively affect your child. When friendly conversations hit a wall, it’s often time to move toward a more structured approach, which usually means getting some legal advice.

When to Consult a Family Lawyer

It’s probably time to talk to a professional when communication has completely broken down or when the expenses in question are significant. A few key red flags signal that you’ve gone as far as you can on your own.

Consider reaching out to a family lawyer when:

• You’re at a stalemate over what’s “necessary.” One parent believes an expense is crucial for the child’s well-being, like therapy or academic support, while the other sees it as an unnecessary luxury.
• Income information is being hidden. You can’t calculate each parent’s proportional share without seeing their latest financial statements. If one parent refuses to provide their income details, that’s a major roadblock that needs legal intervention.
• Big-ticket expenses are the source of conflict. Major costs like private school tuition, post-secondary education, or fees for elite-level sports are common battlegrounds that often need a formal resolution.
• Consent is repeatedly ignored. If one parent continuously signs the child up for expensive activities and sends you the bill without any prior discussion, you need help enforcing the rules.

A family lawyer does more than just argue for you in a courtroom. They can help you craft a rock-solid separation agreement that clearly defines how Section 7 expenses will be handled, which can prevent a lot of future arguments. They can also guide you through mediation, a collaborative process where a neutral third party helps you and your co-parent find a solution together.

A lawyer’s job is to bring clarity and structure to your co-parenting financial arrangements, making sure that decisions are fair and always focused on your child’s best interests.

If you still can’t find common ground, your lawyer will be your advocate in court to fight for a fair outcome. The ultimate goal is to create a clear, predictable system for managing these costs so everyone can move forward with less conflict. And if some of these expenses are the result of an injury, it helps to know all your options; you can learn more about how a lawyer for an insurance claim can help in those specific cases.

Frequently Asked Questions About Ontario’s Section 7 Expenses

When you get into the nitty-gritty of special and extraordinary expenses, it’s natural for a lot of specific questions to pop up. Let’s tackle some of the most common ones we hear from parents in Ontario, giving you the clear answers you need to move forward.

Do We Have to Go to Court to Settle Section 7 Expenses?

Absolutely not. In fact, the court system is really designed to be a last resort. The best-case scenario is always for parents to come to an agreement on their own.

If you can sit down and agree on which expenses are necessary and how you’ll split them, you can simply build those terms right into your separation agreement. This saves a massive amount of time, money, and stress. If you’re struggling to see eye-to-eye, mediation is a fantastic next step. A neutral mediator can help you find a middle ground before court ever becomes a serious consideration.

What Happens if a Parent’s Income Changes?

Life happens. People get promotions, lose jobs, or start new businesses. When a parent’s income changes in a significant way, the formula for sharing Section 7 expenses needs to be updated.

Because the split is based on your proportional incomes, any major shift will throw off the percentages. It’s a great habit to exchange your tax returns or other financial proof once a year to keep the contributions fair and transparent. If you can’t agree on a new split after an income change, either of you can ask the court to vary the original child support order. Just don’t wait too long to act, as these changes are rarely applied backward. To get a better sense of how time limits work in legal matters, it’s helpful to understand the statute of limitations in Canada.

Are University or College Costs Automatically Covered?

This is a big one. While post-secondary education is one of the most common Section 7 expenses, it’s not an automatic add-on. A judge in Ontario will need to be convinced it’s appropriate and will look closely at the specifics of your situation.

Here’s what they typically consider:

• Affordability: Can the parents and the child realistically afford the costs?
• Aptitude: Does the child have the grades and a sensible career path in mind?
• Family Plans: Was it always the plan for the child to go to university before the separation?

It’s important to remember that contributions are seen as a three-way street. Courts expect the student to do their part by applying for scholarships, bursaries, student loans, and even getting a part-time job to help with the financial load.

Can We Claim a Child’s Car or Cellphone as an Expense?

Probably not. In the vast majority of cases, things like a cellphone bill, car insurance, or gas money are viewed as day-to-day costs. The idea is that these should be covered by the standard monthly child support payment, not treated as something “extra.”

That said, there can be very rare exceptions. For instance, if a car is the only way for a child to get to a critical medical program or a high-performance athletic training facility—and that activity is already approved as a Section 7 expense—a judge might consider a portion of the car costs. But you’d need a rock-solid argument to make that happen.

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Working through disagreements over Section 7 expenses is much easier when you have a clear grasp of your rights and obligations. If you’re hitting a roadblock or just need some guidance on your family law situation, the team at UL Lawyers is ready to help. As a Burlington-based firm serving the entire Greater Toronto Area and Ontario, we understand the local legal landscape. Reach out for a consultation to make sure your child’s needs are properly met while your own financial future is secure. Visit us at https://ullaw.ca to learn more.