Ask Attorney Jennifer B.: Understanding Child Support

Many people think that celebrities are immune from the realities of family court. However, even celebrities often deal with the same family disputes as everyone else. For instance, Halle Berry has been embroiled in child support matters with both fathers of her children. She was the higher earner in her case with Gabriel Aubry, and at one point was ordered to pay $16,000 per month in child support for their daughter. That number was based on their financial circumstances at the time child support was calculated. Years later, after paying the same amount for close to a decade, Halle Berry went back to court and argued that the amount did not make sense and exceeded their child’s needs. The court ultimately reduced the support to $8,000 per month.

That result should not surprise anyone who practices family law. Child support is not meant to be permanent or non-modifiable. It is meant to reflect what is actually happening financially in the parties’ lives and the needs of their children at a given point in time. Child support is determined a bit differently in each State. However, in many jurisdictions, this support can be modified when there is a material change in circumstances. That change can come in a lot of different forms. A party loses a job or their income increases. A child gets older and their needs shift. Perhaps they have new or different activities, or a more expensive camp or school, or increased health-related expenses. There may even be a change in custody. As a result of these changes, there may need to be a recalculation of child support.

Even when parties reach an agreement for child support, that does not mean the number is locked in forever. Agreements are beneficial to the extent that they allow parties to remain in control of the outcome, but they do not override the court’s ability to revisit child support if the facts change. If the underlying circumstances look different than what formed the basis for the agreement, the child support number can look different as well. Things get more complicated in high-income cases.. Many high earners do not have a regular paycheck or receive a W2. Business owners, professionals with complex compensation, and individuals with investments may have income that fluctuates from year to year. In those cases, it is important to look beyond the tax return for all sources of income.

Income for support purposes is usually defined broadly. It can include bonuses, distributions, interest, dividends, and other streams that do not show up as traditional wages. To figure out all of the income available for support, financial professionals are often needed. Their assistance can prove invaluable in a complex support matter. There are also situations where someone is not working, or not working to their utmost capacity. In those cases, the court can typically impute income based on prior earnings, education, and overall earning ability. The court is not limited to what someone says they can earn if the facts suggest otherwise. Child support is also not gender driven. Parties are still surprised that moms can pay child support and dads may receive it. Who receives support is not dependent on gender, but rather it is usually based on custodial time and income.

While child support is income driven in many states, in high income cases, expenses of the parties and the child may come into play. Once income reaches a certain level, courts often take into account the child’s needs and the lifestyle to which the child is accustomed. This can mean a much more detailed review of expenses. In these situations, the goal is not just to cover basic needs. It is to make sure the child’s life remains consistent across households. That includes where the child lives, what activities they participate in, how and where they travel, and how they are educated. At the end of the day, child support is not static. It is meant to reflect real life, and real life changes. The Halle Berry case is just a high-profile example of a typical child support matter. If the financial circumstances change, or the needs of the child change, child support can and should be revisited.

With more than 25 years of experience in the industry, Jennifer Brandt’s practice includes all aspects of family law including divorce, custody, support, alimony, adoption, and guardianship matters in both Pennsylvania and New Jersey. In addition to family law litigation, she also negotiates prenuptial, post-nuptial and cohabitation agreements on behalf of clients. In addition to her busy practice, she’s a well-known legal commentator on national news networks including CNN, CNN Headline News, Fox News Channel, MSNBC, ABC News, Court TV and local and regional television and radio.

If you have a family law issue or would like her to speak about legal issues, you can connect with Ms. Brandt at www.cozen.com.