Child Support Guidelines for Payor Spouses Earning Over $150,000

Introduction

Child support is a complex topic, especially when it involves high-income payor spouses who earn more than $150,000 per year. In this blog post, we will delve into Section 4 of the Federal Child Support Guidelines, the evidence required to justify a deviation from the standard child support table amount, and the importance of a child expense budget for high-income payor spouses.

Section 4 of the Federal Child Support Guidelines

Section 4 of the Federal Child Support Guidelines provides the court with the discretion to deviate from the appropriate table amount in cases where the payor spouse's income is more than $150,000. This deviation arises when the court determines that the table amount of child support may be inappropriate given the circumstances. The starting point for support then becomes the table amount assuming an income of $150,000. The court can then order a quantum for the remainder of the child support that they deem appropriate based on the child's condition, needs, means, and other circumstances, as well as the financial ability of each spouse to contribute towards the support.

Evidence Required to Deviate from Child Support Table Amount

The court has the discretion to deviate from the table amount if the payor spouse’s income is over $150,000, and the table amount is considered "inappropriate". However, the standard of "inappropriate" is met based on case law. In the case of Francis v. Baker [1999 S.C.J. No. 52], the Supreme Court of Canada stated that "inappropriate" should be defined as “‘unsuitable’ rather than merely ‘inadequate’”. The applicable burden of proof is that “the evidence in its entirety must be sufficient to raise a concern that the applicable table amount is inappropriate”. The party requesting a deviation has the burden to establish that the ‘inappropriate’ threshold has been met. There is a strong presumption that the table amount will continue to govern, and the onus lies on the party requesting a deviation to establish that the ‘inappropriate’ threshold has been met.

Importance of a Child Expense Budget

In most cases where the paying parent’s income greatly exceeds $150,000, a child expense budget is created to illustrate that the table amount of support is inappropriate. The court warned against returning to the pre-Guidelines era where each budgetary expense was individually dissected and questioned for reasonableness. Instead, the court in Francis v. Baker stated that the budget should be looked at as a whole, and the threshold for reasonableness is that the “budgeted child expenses are so high as to ‘exceed the generous ambit within which reasonable disagreement is possible’”.

Conclusion

Understanding the Federal Child Support Guidelines, particularly with high-income payor spouses, can be complex. It's crucial to understand that the court has the discretion to deviate from the table amount of child support if deemed inappropriate. It's also important to realize that creating a child expense budget can be helpful in these cases. Always seek guidance from a legal professional to navigate these intricate guidelines and ensure the best possible outcome for all involved parties.

THIS BLOG IS FOR EDUCATIONAL PURPOSES ONLY AND DOES NOT NECESSARILY REFLECT THE VIEWS OF LAILNA DHALIWAL LLP.

The Content is offered free of charge strictly on an "as is" basis and is intended to provide users with general information only. Lailna Dhaliwal LLP does not warrant or guarantee the accuracy, completeness or fitness of the Content for any particular purpose.

The material provided on the Lailna Dhaliwal LLP/JSDLAW PC website is not intended to provide legal advice or opinions of any kind, and does not constitute legal advice.

No one should act, or refrain from acting, based solely upon the materials provided on this website, without first seeking appropriate legal or other professional advice.

Sending or receiving of these materials does not create a lawyer-client relationship.

Do not provide any confidential information to Lailna Dhaliwal LLP unless and until we have given you a written retainer agreement confirming that we can represent you.