Parents filing for divorce usually have an array of financial questions for their divorce lawyers. After they ask questions about the divorce filing itself, they begin asking child support questions. As a parent preparing to sign a child support agreement, you need to know which financial questions to ask your lawyer. After all, child support can play a major role in your financial situation. Continue reading this post to discover the top financial questions to ask a lawyer about child support.
How Is Child Support Calculated?
Firstly, ask your lawyer about how child support is calculated. You need to fully understand how your current financial status along with your future ex-spouse’s financial state will impact the child support payment amount. Keep in mind that child support calculation varies between states. Most states determine child support payments based on the income shares model. Other states such as Texas use the percentage of income model. If you live in Massachusetts or the District of Columbia, your payment amount depends on a mixture of these two models. Ask your lawyer about how your state calculates child support so that you can plan for your financial future effectively.
What Do Child Support Payments Cover?
Parents also ask their lawyers about what their child support payments cover. Both the parent paying for child support and the receiver find this information to be valuable. After all, both are financially impacted by the coverage. If the parent receiving the payments discovers that they only cover a small portion of their monthly bills, they could fall into debt. Then, they would have to use the top debt consolidation options to build up their finances again. At the same time, the parent responsible for paying child support may feel the need to pay for extra supplies if their payments do not cover enough for their child. For these reasons, ask your lawyer this financial child support question.
Can I Modify The Order Payments?
Additionally, parents usually ask their lawyers about child support order modifications. According to child support laws, you can change your child support order. This can be good news for both parties depending on the situation. If you pay for child support and lose your job, you can file a Motion to Modify Child Support Order to reduce your payment amounts. In contrast, parents who receive the payments can request for an increase if they hit financial obstacles. Regardless of whether you will be paying for child support or receiving the payments, ask your lawyer this important financial child support question.
Do I Need To Pay Child Support Income Taxes?
Most parents expecting to receive child support payments ask their lawyers about taxes. They worry that they will have to deal with another income tax rate and lose more capital. Many parents assume that because the capital they receive for child support affects their yearly income, they have to pay taxes on it. Fortunately, this is not the case. If you receive child support payments, you do not need to pay income tax on them. However, parents paying child support can claim child tax exemptions if the payments are large enough. Inquire about taxes when you meet with your lawyer.
What Happens When The Obligee Stops Paying?
Finally, ask your lawyer about what happens when the obligee stops paying. Some parents responsible for paying child support struggle to obtain enough capital to make the payments. This can occur for a variety of reasons. A parent could lose their job. They could get in an accident that could result in expensive medical bills. Regardless of their reason for not paying, the parent who is supposed to receive payments can take them to court. As if the payments did not play a big enough financial role in the obligee’s life, the parent would then need to account for court fees as well. Do not underestimate the importance of asking your lawyer this financial question.
Parents filing for divorce need to know which financial child support questions to ask their lawyers in order to fully understand the agreement they sign. Begin by asking how your state calculates child support payments. Then, inquire about what child support covers so that you can plan out your financial future. Ask about modifying Child Support Orders should you or your ex-spouse undergo a financially demanding event. The recipients of child support payments often wonder whether they need to pay income tax on the payments or not. Furthermore, speak with your lawyer about what happens when the obligee stops fulfilling their duty. If you ask your lawyer these financial questions about child support, you will enter your court hearing well-informed.