In Ontario family law cases, spousal support and child support payments are calculated based on a person’s income. However, in a given year, one might generate income that they do not normally earn. This income is not from a regular paycheck, but is generated by other means. Ontario judges are able to use their own discretion when it comes to this non-recurring income, and it generally increases the child or spousal support payments. Support income is not necessarily always the same as tax income.
Some of these forms of non-recurring income include:
Capital Gains: Capital gains may be used to increase support payments, but capital losses are not generally used to lower the person’s overall income when it comes to paying child or spousal support. If any capital gains are immediately reinvested, such as small business revenue going back into the business, they’re not usually considered income.
Severance Packages: If one is laid off and receives a severance package they may find a job right away and report a much higher income for that year, which usually would be used for spousal or child support calculations.
RRSP Redemption
These types of income are included on income tax income but not necessarily spousal or child support income, unless it is repeated every year.
Awards from Lawsuits:
Awards for the loss on income are usually reported as income, but awards for personal suffering are not.
Stocks:
As with RRSP redemptions, if stock options are exercised once in a blue moon they aren’t typically counted. However, if you do it frequently and can establish a pattern of exercising stock options, they may be counted as income.
The legal obligations of fathers who aren’t married to their child’s mother are typically the same as if they were married, with only a few minor differences.
Unlike pregnancies that result from a marriage, in these situations the child may be put up for adoption. If the man is aware of the child’s existence, he may have a decent chance of gaining custody of the child if the mother intends to give it up for adoption.
There are no current laws that force women to tell the father about a pregnancy.
Spousal support for unmarried people doesn’t normally apply. However, it may if the couple falls under the definition of “spouses” as per the Family Law Act. For example, if a couple has lived together for three years or has lived in such a manner that it would appear to be marriage-like to a judge, there can be spousal support involved.
The amount of child support paid by a father is not dependent on whether or not the couple is married. Whether or not the child was expected is also not factored into this decision, although an unmarried father may also be forced to pay for some of any prenatal expenses, according to the Family Law Act in Ontario.
While in the United States and Canada women have the choice as to whether they want to go through with a pregnancy or not, men do not have such a choice. In 2006, a man in Michigan was ordered to pay almost $500 per month in child support to his ex-girlfriend, even though she was well aware he did not want to have a child and she had told him many times that she was physically unable to get pregnant. Some may argue that if the woman did not want to abort the child and refused to put it up for adoption she should have been able to pay for the child herself. The case was dubbed “Roe v. Wade for Men” and attempted to prove this very notion with a lawsuit, but the lawsuit was eventually dismissed.