Child support is one of those issues most likely to spark a heated dispute between former spouses. Often, the parent paying the support believes the required amount is too high for his or her income or is disproportionate to the amount of time he or she spends caring for the child. Most parents understand that paying child support is an integral part of providing for a child, and are willing to make this contribution. Some parents, however, perhaps in an effort to hurt the ex-spouse, will intentionally earn less money than he or she is reasonably able. Since child support payments are based on income, the less the parent earns, the less he or she must pay.

Because of the importance of child support to the custodial parent’s financial stability, and to prevent the non-custodial parent from taking advantage of the legal system, the law allows courts to impute or assign income to a parent suspected of being underemployed. An Indiana court of appeals recently considered a case involving imputed income for child support calculations that centered around the factors a court must consider before income may be imputed to a party. Custodial parents need to understand how child support is calculated, especially if one parent is voluntarily underemployed, if they are to receive the money rightfully owed. A discussion of how child support is calculated generally, and how the court assesses underemployed parents, will follow below.

Basic Child Support Calculation

Determination of child support payments is based on how much each parent would have spent on their child’s care if the parties still lived in an intact household. To calculate this amount, the court takes the weekly gross income of each parent, minus deductions for certain legal obligations, such as court-ordered support of another child or spousal maintenance, to arrive at a parent’s adjusted weekly gross income. Then, both parent’s weekly income is combined and applied to the child support table to arrive at the total child support both parents must provide. However, the percentage of child support for each parent is in portion to his or her income, so higher earning spouses must pay a larger share. Childcare expenses and health insurance premiums may also be added to the basic child support obligation. The custodial parent typically receives the child support, as the law assumes the custodial parent is directly paying his or her share for the child. Note that non-custodial parents do get parenting time credit applied to and subtracted from his or her share of the support.

Voluntary Underemployment and Imputed Income

Since a parent’s income is the determinative factor in the calculation of child support obligations, making sure the number submitted by a party is accurate and fair is crucial. Thus, if there is evidence a parent is voluntarily un- or under-employed, the court is permitted to impute income for purposes of calculating child support. Deciding how much income should be added to the amount reported by the parent requires the court to assess the following:

• The parent’s probable and potential earnings;
• The parent’s work history and occupational skills/training;
• Available job opportunities; and
• Earning levels in the community.

The court has discretion on when income should be imputed, but evidence of former childcare providers still choosing to work part time, or a successful parent changing fields of employment that drastically reduces his/her income, could be enough to for a judge to consider this possibility.

Consult an Indiana Family Law Attorney

Child support is necessary to a child’s wellbeing, and is not an issue to take lightly. Whether you are paying or receiving child support, this money has a big impact on your life, and you want to ensure the right amount was ordered by the court. Each case is unique, and a family law attorney can advise you about how a court is likely to view your case. Attorney Christopher L. Arrington works with clients in central Indiana on a variety of family law matters, and can help you understand the application of child support guidelines to your circumstances. Contact him to schedule an appointment.