Many people wonder why they need a lawyer to help them work out their child and spousal support obligations. It’s simple, surely? The Alberta and Federal Child Support Guidelines are available on-line. With a few simple questions answered an calculation is provided. Simple, quick, cheap and accurate.
Its at this point I remind you of an old adage. You can have it done accurate, quick or cheap. You can usually get two out of there, but you can never have all three!
Unfortunately, this is what many people think and receive nasty surprises later when they obtain advice from a lawyer who fully understands the Child Support and Spousal Support Guidelines and the programs routinely used to calculate the numbers. Child and Spousal Support calculations are extremely complex, especially for people who earn income through corporations such as Doctors, Lawyers and Accountants.
These professionals have Professional Corporations with money retained in their Corporations. They are not simple T4 employees, whose Line 150 reflects the income available to them. How and if, this money retained in their corporations is included in income can have a staggering impact on the child and spousal support calculations produced.
Child Support formulas were devised on the principle that both spouses have a responsibility to maintain the children of the marriage and this was considered looking at the means and needs of the children. However, when the formulas are applied to parents earning over $150,000 year for children not in a shared parenting regime, this can often result in a wealth transfer the parent caring for the child.
At Mincher Koeman we understand that one shoe does not fit all. We spend time working with our clients to fully understand the child and spousal support calculations, potential tax implications that may arise, ensuring our staff are fully trained on the most up date to programs to allow us to fully address our clients needs.
If you need legal advice on a child support issue contact Mincher Koeman at 403 910 3000