21 May What Is Imputed Income, and How Does It Affect Child Support
When calculating child support payments, courts prioritize a child’s well-being while addressing parents’ respective abilities to contribute financially. While income from traditional sources like salaries or wages is straightforward to account for, not all financial situations are as clear. This is where imputed income comes into the picture.
What is imputed income, and how does it affect child support? This succinct guide will help you understand how this income designation influences child support agreements and how to navigate the process.
What Is Imputed Income?
Imputed income is income a court assigns to an individual, regardless of whether they currently earn it. The courts take this action to prevent a parent from deliberately sidestepping their financial responsibilities.
Suppose a parent previously worked a high-paying job but now earns less by choice, not due to circumstances beyond their control, such as a disability or layoffs. The court may assign an income based on their past earnings or potential earning capacity. A parent might have income imputed to them in several scenarios, such as:
- Voluntary underemployment: Choosing a part-time job when they could work full-time.
- Unreported income: Hiding additional income sources.
- Unrealistic career changes: Switching to a much lower-paying job without justification.
However, courts make these decisions carefully. They must account for genuine reasons for reduced income, such as caregiving responsibilities, health issues, or economic conditions.
How Does Imputed Income Impact Child Support?
Now that you know what imputed income is, how does it affect child support? The assigned income becomes a factor as if the parent were earning it, increasing their child support obligation.
Suppose a parent works part-time but could reasonably earn more based on their skills or experience. The court might base child support payments on what they should earn, not their current part-time earnings.
Explore Child Support Adjustments With an Attorney
Imputed income can vary by case and jurisdiction. Washington State courts, for instance, evaluate factors like employment history, qualifications, and local job market conditions when imputing income.
Navigate a case of imputed income with a child support lawyer in Washington State at LaCoste Family Law. Here, you will receive guidance that helps you form a legal agreement that ensures both parents contribute equitably and do not avoid their obligations. This legal representation guarantees the best, fairest possible outcome for your family.