Who Pays for Extracurricular Activities in Northwest Territories? 2026 Guide to Section 7 Expenses

In Northwest Territories, both parents share the cost of extracurricular activities proportionally based on their respective incomes under Section 7 of the Federal Child Support Guidelines. If one parent earns $80,000 and the other earns $40,000, the higher-earning parent pays 67% of qualifying activity costs while the lower-earning parent pays 33%. These extraordinary expenses for children's sports, dance, music lessons, and similar activities are paid in addition to the base child support amount determined by the federal tables.

Key Facts: Extracurricular Activities and Child Support in Northwest Territories

What Are Section 7 Expenses for Extracurricular Activities?

Section 7 expenses are additional child support payments ordered by the court for special or extraordinary costs beyond the base table amount. Under Section 7 of the Federal Child Support Guidelines, extracurricular activities qualify as extraordinary expenses when they meet three criteria: they must be in the child's best interests, reasonable given both parents' financial means, and consistent with the family's spending patterns before separation. A $5,000 annual hockey registration fee might qualify as extraordinary for a family with combined income of $80,000, but courts may not consider it extraordinary for parents earning $300,000 combined.

Extracurricular activities eligible for Section 7 treatment include competitive sports such as hockey, figure skating, and soccer; music lessons and instrument rentals; dance classes and performance fees; arts programs and specialized training; and equipment costs for activities requiring significant investment. However, recreational sports participation at the level typical of an average child generally does not qualify as a Section 7 expense. The activity must represent an extraordinary commitment or cost that exceeds what the receiving parent can reasonably cover from their income and the base child support amount.

How Are Extracurricular Costs Divided Between Parents?

Northwest Territories courts divide Section 7 extracurricular expenses proportionally based on each parent's gross annual income, with both parents contributing their respective percentage of the net expense. For example, if Parent A earns $100,000 annually and Parent B earns $50,000, their combined income totals $150,000. Parent A would pay 67% of qualifying extracurricular costs ($100,000 divided by $150,000), while Parent B pays 33% ($50,000 divided by $150,000). This proportional sharing ensures that neither parent bears a disproportionate burden relative to their earning capacity.

The calculation uses net expenses rather than gross costs. Courts deduct any applicable tax credits, subsidies, or benefits before determining each parent's share. If an activity costs $12,000 annually but generates a $2,000 tax credit claimed by one parent, the shareable expense is $10,000. Using the income proportions above, Parent A would pay $6,700 and Parent B would pay $3,300 of the $10,000 net cost.

Section 7 Expense Calculation Example

What Qualifies as an Extraordinary Extracurricular Expense?

Northwest Territories courts apply a four-factor test when determining whether an extracurricular activity constitutes an extraordinary expense under Section 7: the nature and number of educational programs and extracurricular activities; any special needs or talents of the child; the overall cost of the programs and activities; and any other similar factors the court considers relevant. Competitive hockey requiring $15,000 annually in registration, equipment, travel, and ice time more likely qualifies than recreational house league soccer costing $500 per season.

Pre-separation family spending patterns significantly influence whether courts order Section 7 contributions. If both parents supported competitive figure skating lessons costing $8,000 annually before separation, courts typically expect that commitment to continue post-separation. However, if one parent enrolls a child in an expensive new activity after separation without the other parent's agreement, courts may decline to order cost-sharing. Parents should consult with each other before incurring significant new extracurricular expenses, as failure to do so can result in denial of retroactive contribution claims.

Activities that qualify as Section 7 expenses in Northwest Territories typically include:

• Competitive sports requiring travel, specialized equipment, or coaching fees exceeding $2,000 annually
• Elite-level hockey programs costing $5,000 to $20,000 per season
• Specialized music training, including conservatory lessons and instrument purchases over $1,000
• Dance programs requiring costumes, competition fees, and studio time totaling more than $3,000 annually
• Academic tutoring or enrichment programs addressing specific educational needs

How to Request Section 7 Expenses in a Parenting Order

To obtain a court order for shared extracurricular expenses in Northwest Territories, you must file a Statement of Claim for Divorce or a separate application for child support variation with the Supreme Court of the Northwest Territories. The filing fee is approximately $200 CAD as of April 2026, with additional service and motion fees bringing total court costs to $400-$600 CAD. Either you or your spouse must have resided in the Northwest Territories for at least one year immediately before filing, as required by Section 3(1) of the Divorce Act, R.S.C. 1985, c. 3.

Your application should include documentation of the proposed extracurricular expenses, including registration receipts, equipment costs, and travel expenses. Courts require evidence that the activity serves the child's best interests and aligns with family spending patterns before separation. Both parents must disclose their complete financial information, including income tax returns, pay stubs, and business financial statements if self-employed. The Supreme Court Registry in Yellowknife can be reached at 867-873-7466 to verify current fees and filing requirements.

What Happens When Parents Disagree About Activities?

When parents cannot agree on whether an extracurricular activity qualifies for Section 7 cost-sharing, the Supreme Court of the Northwest Territories resolves the dispute by examining whether the expense meets the statutory criteria. Courts consider the child's demonstrated talent or interest, the historical involvement in the activity, the proportional cost relative to family income, and each parent's ability to contribute. A parent earning $40,000 annually may successfully argue that a $12,000 competitive hockey expense is extraordinary, while the same expense might not qualify for a parent earning $200,000.

Consent between parents is not strictly required for Section 7 expenses, but courts strongly favor activities supported by both parents. In practice, a parent who incurs significant extracurricular expenses without attempting to consult the other parent may have difficulty recovering arrears. Courts may reduce or deny retroactive Section 7 claims if the paying parent was not given reasonable notice or opportunity to participate in the decision. Before enrolling a child in an expensive activity, document your attempts to discuss the expense with the other parent through email or text messages.

Impact of Spousal Support on Section 7 Calculations

When spousal support flows between parents, the Section 7 expense calculation adjusts to reflect each parent's actual available income. The spousal support amount is deducted from the paying parent's income and added to the receiving parent's income before calculating proportional shares. If Parent A earns $80,000 and pays $800 monthly ($9,600 annually) in spousal support to Parent B earning $30,000, Parent A's adjusted income becomes $70,400 while Parent B's adjusted income becomes $39,600.

Using these adjusted incomes, the proportional calculation changes significantly. Parent A's share drops from approximately 73% to 64% of Section 7 expenses, while Parent B's share increases from 27% to 36%. For a $10,000 annual extracurricular expense, this adjustment shifts $900 of the cost from Parent A to Parent B. Courts apply this adjustment to ensure that the spousal support transfer appropriately affects each parent's proportional responsibility for children's extraordinary expenses.

Common Extracurricular Activities and Typical Costs in NWT

Extracurricular activities in Northwest Territories often cost more than in southern provinces due to limited facilities, travel requirements for competitions, and shipping costs for equipment. Hockey remains the most common high-cost activity, with competitive travel hockey costing $8,000 to $15,000 annually when including registration, equipment, tournament travel, and ice time. Recreational hockey through local associations typically costs $1,500 to $3,000 per season, which may or may not qualify as a Section 7 expense depending on family circumstances.

Tax Credits and Net Expense Calculations

Northwest Territories parents claiming Section 7 expenses must calculate net costs after accounting for applicable tax credits and benefits. The Canada Child Benefit and territorial child benefits do not directly offset Section 7 expenses, but certain federal and territorial tax credits for children's activities may reduce the shareable cost. Courts require both parents to disclose their eligibility for and receipt of any subsidies, benefits, or tax deductions related to the expense.

The net expense calculation follows a specific process: determine the gross cost of the activity; subtract any subsidies or fee reductions received; subtract the value of income tax deductions or credits claimed; and divide the resulting net cost proportionally between parents based on income. If one parent is eligible for a tax credit but does not claim it, courts may still reduce that parent's share by the amount they could have claimed. This prevents strategic non-claiming of available credits to inflate the other parent's contribution.

What Constitutes Hockey Expenses Under Section 7?

Hockey expenses frequently cause disputes because parents may disagree on what falls within the scope of agreed cost-sharing. When parents agree to share hockey expenses proportionally, questions arise about whether the agreement covers only registration fees or extends to equipment purchases, skate sharpening, power skating lessons, hockey camps, tournament travel, and hotels for out-of-town games. Clear agreements should specify exactly which expenses are included.

A comprehensive hockey expense agreement in Northwest Territories might include:

• Registration and league fees for the agreed level of play
• Required equipment purchases and replacements
• Mandatory team fees and assessments
• Tournament registration and travel within a specified radius
• Hotel accommodations for tournaments requiring overnight stays
• Power skating or skills development programs approved by both parents

Costs often excluded from standard hockey expense agreements include optional hockey camps, additional private coaching beyond team practices, equipment upgrades beyond functional requirements, and travel to tournaments outside the agreed geographic scope. Parents should address these potential expenses explicitly in their parenting agreement to avoid future conflict.

Legal Aid and Court Resources in Northwest Territories

The Legal Aid Commission of the Northwest Territories provides representation for family law matters, including divorce and child support disputes involving Section 7 expenses, when applicants meet income eligibility criteria. Eligibility generally requires that the applicant's income derives primarily from social assistance or that paying legal fees would reduce their income to social assistance levels. Contact Legal Aid at 1-844-835-8050 to determine eligibility.

The Government of Northwest Territories offers additional resources for separating families:

• Free family mediation services through the Department of Justice
• Parenting After Separation Workshop (often mandatory before court proceedings)
• Self-help resources at court registries in Yellowknife, Hay River, and Inuvik
• Court forms available at nwtcourts.ca

Modification of Section 7 Expense Orders

Section 7 expense orders can be modified when circumstances change materially, such as when a child's activities change, when either parent's income changes significantly, or when the child reaches an age where activities typically cease. Under Section 17 of the Divorce Act, courts can vary child support orders, including Section 7 expense provisions, upon application by either parent demonstrating a material change in circumstances.

Common grounds for Section 7 expense modification include:

• Income change of 10% or more for either parent
• Child discontinuing an activity that was subject to the order
• Child beginning a new activity that qualifies as extraordinary
• Child reaching adulthood or ceasing to qualify as a child of the marriage
• Geographic relocation affecting activity availability or costs

Enforcement of Section 7 Expense Orders

When a parent fails to pay their court-ordered share of Section 7 expenses, the receiving parent can enforce the order through the Maintenance Enforcement Program (MEP) operated by the Government of Northwest Territories. MEP can garnish wages, intercept tax refunds, suspend driver's licenses and passports, and register liens against property to collect unpaid child support amounts, including Section 7 expense contributions.

To enforce Section 7 expense orders, the parent owed money should document all expenses with receipts, provide written notice to the other parent of expenses incurred and their proportional share owed, and file with MEP if payments are not received within a reasonable time. Courts may also order costs and interest on unpaid Section 7 amounts, particularly when non-payment appears deliberate.

H2 FAQs: Extracurricular Activities and Child Support in Northwest Territories

Does regular child support cover extracurricular activities?

Base child support from the federal tables does not specifically include extracurricular activities. The table amount covers basic necessities like food, housing, and clothing. Extraordinary extracurricular expenses require separate Section 7 orders, with both parents contributing proportionally to their income. A parent earning $75,000 would pay 60% of a $5,000 activity expense if the other parent earns $50,000.

Can I refuse to pay for activities I did not approve?

Parents may dispute contributions to activities they did not agree to, but courts examine whether the activity serves the child's best interests regardless of parental consent. If the activity meets Section 7 criteria and was consistent with pre-separation family patterns, courts may order contribution even without prior approval. However, expenses incurred without reasonable consultation may be partially or fully denied.

How do courts decide if hockey is an extraordinary expense?

Courts examine the annual cost relative to combined family income, the child's demonstrated talent and commitment, pre-separation involvement in the sport, and whether the receiving parent can reasonably cover costs from their income plus base child support. Competitive hockey costing $12,000 annually typically qualifies when family income is under $150,000 combined.

What if my ex claims higher activity costs than actual?

Request receipts, registration confirmations, and proof of payment for all claimed Section 7 expenses. Courts require documentation of actual costs incurred. Inflated claims constitute fraud and can result in cost awards against the offending parent. Maintain your own records of payments made directly to activity providers.

Can I claim summer camp as a Section 7 expense?

Summer camps may qualify if they serve childcare needs while a parent works (similar to daycare expenses) or if they provide specialized programming for a child's identified talent or educational needs. Recreational summer camps typically do not qualify unless costs exceed what the receiving parent can reasonably cover. Documentation of necessity is essential.

How often should Section 7 expenses be recalculated?

Section 7 proportions should be recalculated annually when income changes or whenever a material change occurs in either parent's financial circumstances. Most parenting agreements require annual income disclosure by a specified date, such as June 1, with recalculation effective for the following activity year. Courts may order recalculation when income changes by 10% or more.

What happens if neither parent can afford expensive activities?

Courts cannot order parents to pay for activities beyond their reasonable financial means. If combined family income cannot support expensive extracurricular activities, courts may decline to order Section 7 contributions or may order reduced participation. The child's best interests include financial stability of both households, and courts balance activity benefits against economic hardship.

Can Section 7 expenses be claimed retroactively?

Courts may order retroactive Section 7 contributions, but several factors affect success: whether the paying parent was informed of expenses when incurred, whether documentation supports claimed amounts, and whether delay in claiming was justified. Claims made years after expenses were incurred face significant obstacles. Prompt notification and regular accounting improve enforcement prospects.

Do Section 7 expenses end when my child turns 18?

Section 7 expenses continue as long as the child qualifies as a child of the marriage under the Divorce Act. Children over 18 who remain enrolled in full-time education or who cannot support themselves due to illness or disability may continue to qualify. Post-secondary extracurricular activities are rarely ordered, as university-age children typically choose and fund their own recreational activities.

How do I prove an activity is in my child's best interest?

Document the child's demonstrated interest and talent, continuity of participation, educational or developmental benefits, and instructor or coach recommendations. Evidence that both parents supported the activity before separation strongly supports ongoing Section 7 treatment. Medical or psychological evidence may support activities addressing specific therapeutic needs.