For many divorced parents, child support or spousal support payments are part of their divorce agreement. Thus, it becomes critical to understand what types of income the courts will look at in order to determine the amount of your support obligation.
Courts typically consider any type of income resulting from employment or income-generating endeavors as a key factor in establishing your support payments.
The judge may take into account any of the following sources of earned income:
- Partnership distribution
- Employee perks
- Corporate contributions to your retirement account
- Performance/signing bonuses
- Deferred compensation
- Carried interest
- Recurring passive income (such as dividends on investments, rental property, etc.)
Of course, other elements come into play when determining child support or spousal support as well. The court looks at your most recently filed federal income tax return. They will look even deeper beyond your tax return to find income that may not have been reported.
Overall, it is recommended to prepare yourself for the court to examine all your income streams as the total of all said income could determine the child support or spousal support that is ordered by the court.
If you or anyone you know is involved in any child support or spousal support proceedings, Shah & Kishore can be your advocate to ensure that you are paying or obtaining the support that is in your best interest. Contact us today to find out we can help.
To learn more about how we can help you with your particular situation, please email or call us today at (301) 715-3838 to set up your FREE consultation.