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Personal Injury &
Wrongful Death

lItIgatIon

estate PlannIng
                      neW chIlD suPPort laW:
real estate & tItle   hoW It May affect you
Insurance
                      natalie c. lashway
MarItal & faMIly
                      august 2010
envIronMental
& lanD use

BusIness

elDer laW

asset ProtectIon      a new bill signed by governor charlie crist brings big child support changes for 2011.
                      you may think that these changes will not apply to you if you are already paying or
                      receiving child support, but you may be surprised.
attorneys
guy s. eMerIch        child support may be modified whenever there is a substantial change in circumstances.
                      the child support guidelines themselves can be the basis for such a substantial change.
jacK o. hacKett II
                      the changes to the child support statute are, therefore, important to parents that are al-
charles t. Boyle      ready paying or receiving child support because the amendments may provide a basis for
Darol h.M. carr       modifying that child support.
DavID a. holMes
                      once a parent exercises a substantial amount of time-sharing, child support is calculated
gary a. Kahle
                      in a slightly different way (known as the “gross-up method”), which often reduces child
roger h. MIller III   support that the parent with less time-sharing must pay. the new bill reduces the number
Dorothy l. KorsZen    of overnights required for a parent to be deemed to have a substantial amount of time-
WIll W. sunter
                      sharing. a parent with only 20% of overnights per year will now be considered to have a
                      substantial amount of time-sharing. Prior to this bill taking effect, a parent must have at
forrest j. Bass
                      least 40% of overnights per year in order to have a substantial amount of time-sharing.
natalIe c. lashWay    now, parents with only 20% of overnights may be allowed to apply the gross-up method
                      when calculating child support.

                      child care costs are generally included in calculating child support. the new bill permits
                      100% of child care costs to be included in the child support calculation. Previously, only
                      75% of child care costs could be added into the basic child support obligation. under the
                      new bill, there will be a higher basic child support obligation for a child with a child care
                      expense, even if the amount of that expense did not actually change. this is because the
                      full amount of child care costs can now be included, rather than just 75%.
Personal Injury &
Wrongful Death

lItIgatIon

estate PlannIng         the bill also changes when income may be imputed and how imputed income is calcu-
                        lated. When a parent is voluntarily unemployed or underemployed, a court may impute
real estate & tItle
Insurance
                        income to that parent. courts were previously limited to imputing income based only on
                        the parent’s recent work history, occupational qualifications, and prevailing earnings level
MarItal & faMIly        in the community. the new bill requires that income be imputed when information on a
envIronMental
                        parent’s income is unavailable, a parent fails to participate in the proceeding, or a parent
& lanD use              fails to provide adequate financial information. there is now a rebuttable presumption
BusIness
                        that such a parent has income equivalent to the median income of year-round full-time
                        workers based on reports from the u.s. census Bureau.
taxatIon

elDer laW               these child support changes take effect on january 1, 2011. If you think any of these
                        changes may allow for a modification of your child support, you should seek the advice of
asset ProtectIon        counsel.




Punta gorda office:
                                  to subscribe to our monthly newsletters, please visit our website at www.farr.com
99 nesbit street
Punta gorda, fl 33950
Phone: 941.639.1158                     this newsletter is for general information and education purposes only.
fax: 941.639.0028                                  It is not offered as legal advice or legal opinion.


englewood office:       to the extent this message contains tax advice, the u.s. treasury Department requires us to inform you
33 s. Indiana avenue     that any advice in this letter is not intended or written by our firm to be used, and cannot be used by
englewood, fl 34223     any taxpayer, for the purpose of avoiding any penalties that may be imposed under the Internal revenue
Phone: 941.460.9334
                        code. advice from our firm relating to federal tax matters may not be used in promoting, marketing or
fax: 941.460.9443
                                       recommending any entity, investment plan or arrangement to any taxpayer.

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New Child Support Law: How It May Affect You

  • 1. Personal Injury & Wrongful Death lItIgatIon estate PlannIng neW chIlD suPPort laW: real estate & tItle hoW It May affect you Insurance natalie c. lashway MarItal & faMIly august 2010 envIronMental & lanD use BusIness elDer laW asset ProtectIon a new bill signed by governor charlie crist brings big child support changes for 2011. you may think that these changes will not apply to you if you are already paying or receiving child support, but you may be surprised. attorneys guy s. eMerIch child support may be modified whenever there is a substantial change in circumstances. the child support guidelines themselves can be the basis for such a substantial change. jacK o. hacKett II the changes to the child support statute are, therefore, important to parents that are al- charles t. Boyle ready paying or receiving child support because the amendments may provide a basis for Darol h.M. carr modifying that child support. DavID a. holMes once a parent exercises a substantial amount of time-sharing, child support is calculated gary a. Kahle in a slightly different way (known as the “gross-up method”), which often reduces child roger h. MIller III support that the parent with less time-sharing must pay. the new bill reduces the number Dorothy l. KorsZen of overnights required for a parent to be deemed to have a substantial amount of time- WIll W. sunter sharing. a parent with only 20% of overnights per year will now be considered to have a substantial amount of time-sharing. Prior to this bill taking effect, a parent must have at forrest j. Bass least 40% of overnights per year in order to have a substantial amount of time-sharing. natalIe c. lashWay now, parents with only 20% of overnights may be allowed to apply the gross-up method when calculating child support. child care costs are generally included in calculating child support. the new bill permits 100% of child care costs to be included in the child support calculation. Previously, only 75% of child care costs could be added into the basic child support obligation. under the new bill, there will be a higher basic child support obligation for a child with a child care expense, even if the amount of that expense did not actually change. this is because the full amount of child care costs can now be included, rather than just 75%.
  • 2. Personal Injury & Wrongful Death lItIgatIon estate PlannIng the bill also changes when income may be imputed and how imputed income is calcu- lated. When a parent is voluntarily unemployed or underemployed, a court may impute real estate & tItle Insurance income to that parent. courts were previously limited to imputing income based only on the parent’s recent work history, occupational qualifications, and prevailing earnings level MarItal & faMIly in the community. the new bill requires that income be imputed when information on a envIronMental parent’s income is unavailable, a parent fails to participate in the proceeding, or a parent & lanD use fails to provide adequate financial information. there is now a rebuttable presumption BusIness that such a parent has income equivalent to the median income of year-round full-time workers based on reports from the u.s. census Bureau. taxatIon elDer laW these child support changes take effect on january 1, 2011. If you think any of these changes may allow for a modification of your child support, you should seek the advice of asset ProtectIon counsel. Punta gorda office: to subscribe to our monthly newsletters, please visit our website at www.farr.com 99 nesbit street Punta gorda, fl 33950 Phone: 941.639.1158 this newsletter is for general information and education purposes only. fax: 941.639.0028 It is not offered as legal advice or legal opinion. englewood office: to the extent this message contains tax advice, the u.s. treasury Department requires us to inform you 33 s. Indiana avenue that any advice in this letter is not intended or written by our firm to be used, and cannot be used by englewood, fl 34223 any taxpayer, for the purpose of avoiding any penalties that may be imposed under the Internal revenue Phone: 941.460.9334 code. advice from our firm relating to federal tax matters may not be used in promoting, marketing or fax: 941.460.9443 recommending any entity, investment plan or arrangement to any taxpayer.