Will a Bonus be Considered Income?
Much of what needs to happen in a divorce involves dividing finances and property. Many financial aspects of your divorce will be determined based off of your income information. Spousal support, child support and property division will all rely, in full or in part, on income information to be resolved. For child support, California has a standardized, statewide formula that takes into consideration a wide range of income sources. Aside…
Read MoreWhat is Considered Income for Child Support Purposes?
California child support law views a parent’s financial responsibility to raise their child as non-negotiable. For this reason, child support is calculated based off a statewide, standard guideline calculator that seeks to determine child support in a way that reflects mainly two things; the income of the parents and their residential time with the child. The income of the parent is determined by taking the gross income and deducting certain…
Read MoreHow Will My Finances Change After a Divorce?
Everything changes after divorce, not least of which are your finances. Support orders, tax implications and a new living arrangement can mean you have to make a lot of changes in your spending habits. The biggest changes you can expect after divorce are either paying or receiving support and having a different asset profile. You will also have to set up a new household, which is especially important when minor…
Read MoreWho Gets Child Support if We Have Similar Incomes?
In California, child support is calculated based off of a state wide formula. This formula is mainly based off of the net income of the parents and the residential time distribution. Generally, whoever has more residential time with the child is the one who covers more costs, like food, clothing and incidentals. Because California views it as both parents responsibility to financially provide for their child, support is ordered to…
Read MoreHow to Ensure Your Support Order is Feasible
Every divorce involving minor children will involve a child support order. Many divorces will also involve an order for spousal support, if one spouse is unable to be self-supporting after the divorce. Financial support orders such as these are important parts of any divorce but are also often highly contested, spousal support in particular. It is important to make sure your support orders are feasible for both parties. Otherwise, adhering…
Read MoreEnforcing Child Support Orders When Support Goes Unpaid
Once a child support order is issued, monthly payments are enforceable. Unfortunately, there is no fail safe way to ensure those payments are actually made. Child support not paid, also called arrearage, must be paid back with a 10% interest rate per year. The only way for child support payments to stop are: If the parental rights are signed over to another parental figure willing to take on the financial…
Read MoreTax Breaks for Parents: What You Can Expect After Divorce?
One of the many things that will change after divorce is your taxes. You will have a separate filing status and may be in significantly different financial circumstance. Dependency Exemptions One thing that can change is your dependency exemptions. There are many tax breaks for parents. You can claim a dependent on your taxes to reduce your overall taxed income and take advantage of possible tax credits. Some expenses from…
Read MoreIncome and Child Support: What Happens When There is a Change in Circumstances?
Child support is based off of standard formulas that take into account, mainly, the time each parent spends with the child or children, based off of the custody and timesharing agreements, and the parents’ net income. Both these factors can change dramatically post-divorce and so there are procedures in place for changing, also called modifying, a child support order. If you are like many concerned parents, you want your child…
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