In this section, we will review the basic principles involved in the calculation of child support, including:
The Federal Child Support Guidelines
Child support in Canada is governed by the Federal Government through the application of the Federal Child Support Guidelines (Guidelines). There are four objectives of the Guidelines:
A child support payment is made from the access parent to the primary caregiver parent. The amount of that payment is based on the payor parent’s income as it applies to the Federal Child Support Guidelines. Child support is considered the right of the child, not the recipient parent, nor is it at the discretion of the payor parent.
In order to determine the amount of a payor parent’s child support obligation, his or her annual income must first be determined.
The determination of a payor's income is a simple exercise if the parent is earning an annual salary from a single employer. It becomes increasingly difficult as contingencies are thrown into the equation, such as bonuses, commissions, employment benefits or secondary sources of income are added. These payments can vary from year to year in their amount and make predicting income difficult. In calculating a payor parent’s income, every dollar or benefit in kind that a parent receives is applied to their income.
Once the payor parent’s income is determined, it becomes simply a matter of looking up that income and the number of children for whom child support is payable on the Federal Child Support Guidelines and making the payment set out therein.
The Federal Child Support Guidelines for each province are found online at www.justice.gc.ca/en/ps/sup/grl/pdftab.htm
Special or Extraordinary Expenses (a.k.a. Section 7 Expenses)
Not all expenses related to the support of children are covered by the basic Guideline amount. There are additional expenses that the legislation has recognized as beyond what the Guideline Table amount covers. These additional expenses are found at Section 7 of the Child Support Guidelines, and are as follows:
In deciding whether to award special or extraordinary expenses, a court will apply a two part test based on the necessity and reasonableness of the expenses in relation to the means of the spouses, as well as considering the family's spending habits prior to the separation.
Definition of Extraordinary Expenses
Extraordinary expenses are expenses that exceed those that the spouse requesting the amount can reasonably cover, taking into account that spouse's income and the amount that spouse is expected to receive from the Guideline table amount or the amount of child support ordered. In deciding whether an expense is extraordinary, the court will also consider:
Child Support Other Than the Guideline Amount
Because child support is the right of the child, not the parents, courts are weary about approving agreements that vary the Guideline amount, however, there are circumstances where an amount other than the guideline amount is appropriate. Some of those circumstances are as follows:
1. Each parent has care of the child for more than 40% of the time.
2. Where the parents agree to an amount other than the Guideline amount and they can show that the child’s needs are being adequately met.
3. Where, because of special circumstances, the payment of child support causes an undue hardship on the payor parent, there are mechanisms by which an application can be made to
have the child support reduced, however it is a difficult claim, requiring detailed proof of the hardship.
On the other hand, if a payor parent is intentionally under or unemployed, whether to avoid child support payments or not, an amount of income can be imputed to them, at a level that is commensurate with their earning potential. The Guideline amount for that imputed income then becomes payable.
Despite the existence of the Federal Child Support Guidelines, the determination of an appropriate leve of child support is not a straight forward exercise. For more information on the determination of a payor's support obligation, contact Fitzgerald Family Law. (613)233-7285 or paul@fitzgeraldfamilylaw.ca
Note: The information provided in this website is only intended as a guideline for understanding the basic principles of family law matters generally. It is not to be taken as legal advice, nor relied upon in advancing or defending a specific family law claim. Every case is different and in no way is the information provided to be taken as advice specific to your particular circumstance. If you have questions relating to your matter specifically, please contact Paul Fitzgerald of Fitzgerald Family Law to discuss.