Like
many other states, Minnesota determines the amount of child support a parent
must pay by looking at each parent's income. The formula set out in Minnesota's child support guidelines will use
each parent's income, as well as other factors, to give a family law judge some
idea of the proper amount of child support that the judge should order a parent
to pay.
While
determining the amount of monthly payments by using a formula may seem simple
enough on the surface, it can be quite tricky because spouses often argue over
what constitutes "income". This is particularly true in situations
where a person is either self-employed or has a job that offers substantial
benefits over and above a cash salary.
In one
recent case, an executive in charge of a college recently sought a child
support modification after his cash salary was cut from $143,000 to $75,000
after the college fell upon some tough financial times. However, the man also
continues to receive the equivalent of $16,000 in benefits annually, including
a car and a cell phone that the man has available for his use.
While
the man argued that these employment benefits should not count as
"income" for child support purposes, the mother of his children and
two lower courts disagreed with him. Both courts held that his overall income,
including benefits, did not justify a child support modification. His case is
now pending before that state's supreme court.
Particularly
in situations like the case here, parents must take extra care in calculating
the proper amount of child support. For example, a parent with non-traditional
income can take advantage of the other parent by avoiding extra child support
yet still taking home substantial employment benefits that improve his or her
standard of living.
Source: The
Columbus Dispatch, "Dad doesn't want hisperks to count in calculating child support,"
Catherine Candisky, June 12, 2013
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