When parents legally separate from each other, they may face a difficult situation in which the parent retaining custody requires some amount of financial support from the other parent. In these situations, that amount of child support is determined according to state guidelines and any modifications made by the courts. Each parent’s financial situation is assessed in this process, namely including the income of the custodial parent. However, the custodial parent may exclude certain forms of income from their net resources figure.
What Isn’t Included in Your Net Income
A net resource figure is the calculated amount of money the court uses to describe a custodial parent’s financial situation. Most forms of income, including wages, many benefits, and capital gains, are considered in this figure. However, the following exceptions won’t be included:
- Accounts receivable
- Payments made for foster care
- Resources provided by a new spouse
- The principal or capital returns on a note excluded from net resources
It’s important for a parent to understand what kinds of income are included in their net resource figure, as this amount will ultimately determine how much child support they may expect to receive.
You don’t need to face the difficulty of a child support case on your own. Our qualified legal team at Holmes, Diggs & Sadler can answer any questions you have about child support or custody, in addition to adeptly guiding you through this process. For a consultation regarding your child support and/or divorce needs, call (713) 766-5355 today.