Just because you're a celebrity doesn't mean that you are immune from child support laws that effect the rest of us. Recently, singer and actor Marc Anthony lost a legal battle over increasing child support payments to his former wife and Miss Universe winner Dayanara Torres. Under the terms of the case, the former beauty queen sought significant increases to her children's already robust support payments, claiming that the disparity in the quality of her home and Anthony's was upsetting to her children.
If you are facing divorce with a child in the equation, you may find yourself at odds with your former spouse on nearly every front. While many parents are able to work together to create a fair parenting and child support plan for the future, some parents act out in surprisingly selfish ways and attempt to hide assets or potential sources of income to avoid having them used for child support and alimony calculations. If you believe you may be in such a situation, it may be time to consider enlisting the help of a forensic accountant.
When it comes to calculating child support, especially for high earners, one of the most common issues that comes up is "yes — but should child support really pay for that?" While it can be a tough pill to swallow for those writing the checks, the blow may be somewhat softened knowing that the range of things that may legitimately be covered by child support according to the law is quite extensive. Many conflicts over child support stem from a misunderstanding of who child support is for. Ultimately, even though it is paid to a parent, child support is the right of the child, and should be used across many areas of the child's upbringing.
For the purposes of calculating child support payments, the concept of "income" is often defined just about as broadly as possible. This can create a tricky situation for the parent who is being tasked with providing regular child support, especially when in comes to the matter of unrealized income and child support. In these cases, income that exists in theory or on paper, but is not in a liquid form, may be counted as income for child support purposes, and increase the providing parent's child support obligation to an untenable figure. After all, making a monthly payment based on money you don't actually have or cannot access can be quite the setback.
In the divorce world, discovery the process of disclosing and acquiring financial and personal information from your spouse. Often, this can be the point in the process where things begin to head south. For some spouses, there is pressure to minimize the visibility of their assets to avoid having them chopped up and divided in a settlement, while others may believe that a spouse is being untruthful about income to avoid having to pay fair alimony or child support.
Child support payments are often a source of contention between parents, but when we think of child support battles, it is usually in the context of parents who are scraping to get by. The other end of the income spectrum is also prone to its share of child support disagreements. While many states have differing statutes when it comes to the precise details of determining child support, the very laws that are intended to create equality among child supporters often place what some feel is an undue burden on the incomes of the wealthy.