Calculating Income for Spousal Support

[acpickering]

I understand that for ss purposes, we include the cctb/ucb incomes...

Do we also include any cs payments they receive?

Do we include any OW payments they receive?

[teezy]

Child support - no, this is not considered income.

As for OW... I just found this website 6. INCOME - Spousal Support Advisory Guidelines July 2008 and section 6.2 specifically states that social assistance is not considered income.

[ddol1]

TABLE OF CONTENTS - The Spousal Support Advisory Guidelines: A New and Improved User's Guide to the Final Version

I just came accross this - I take it as the new updated/improved SSAG uers guide - may help too.

[acpickering]

Child support - no, this is not considered income.

As for OW... I just found this website 6. INCOME - Spousal Support Advisory Guidelines July 2008 and section 6.2 specifically states that social assistance is not considered income.

The paragraph is confusing...

Under s. 4 of Schedule III to the Federal Child Support Guidelines, social assistance is treated as income, but only "the amount attributable to the spouse". This adjustment is required as social assistance is included in line 150 income.
-- does this mean it counts for cs?

OW and ODSP are social assistance... does cpp disability or income replacement benefit count as social assistan
"a payor who receives social assistance is by definition unable to support himself or herself and thus has no ability to pay. For purposes of the Advisory Guidelines, section 4 of Schedule III does not apply. No amount of social assistance should be treated as income, for either the recipient or the payor."

[Desperate_Dad]

This may help you.

Social assistance (no clawback)

Input the annual amount of non-taxable Social assistance payments received by the party (T1, Line 145; T5007 slip, Box 11). NOTE: These Social assistance payments will not be automatically clawbacked (ie. reduced) by the amount of child and/or spousal support received on a dollar for dollar basis, in accordance with the practice of most social service agencies, in the determination of the party's NDI in the Support Scenarios.If you wish the software to automatically clawback the Social assistance payments, go to "Social assistance (auto clawback)".
In the determination of spousal support under the SSAG, the software will automatically deduct this Social assistance income from the party's annual income (SSAG, s.6.2).
In the determination of child support under the CSG, the software will automatically gross up this Social assistance income (after deduction of social assistance not attributable to spouse (CSG, Sch. III, s.4)) for the purposes of determining the party's Guidelines Income. In other words, the software will determine how much gross employment income the party would have to earn at his/her current marginal income tax rate (including CPP and EI premiums if specified by you), in order to have this non-taxable Social assistance (after any adjustment).
Although non-taxable, these Social assistance payments are included as income when calculating the Canada Child Tax Benefit and other refundable and non-refundable credits.
According to the CSG, annual income is determined using Line 150 ("Total income") of the T1 General form, adjusted in accordance with Schedule III and ss. 17, 18 and 19 of the CSG. This is commonly referred to as "Guidelines Income".
Note that the SSAG use the same definition of annual income as under the CSG, with the exception of Social assistance, which is not included in income for the purposes of determining spousal support under the SSAG.
CSG, Guidelines Income Cap:
When a child support payor's Guidelines Income is over $150,000 (CSG, s.4), if the court considers the table amount of child support based on the full Guidelines Income to be inappropriate, the court may apply the table amount of child support for the first $150,000 of income, and use its discretion to determine the appropriate amount of additional child support based on the balance of the income, plus special/extraordinary expenses, if any.
SSAG, Guidelines Income Ceilings, Floors and Exceptions:
For the SSAG, when a spousal support payor's Guidelines Income is over $350,000, the formulas should no longer be automatically applied to divide income beyond that threshold. Instead, the court will have to exercise discretion in fixing the amount of spousal support. Similarly, when a spousal support payor's Guidelines Income is under $20,000, no spousal support is payable unless an exception is made (ie. payor spouse has significantly reduced expenses). Where a spousal support payor's income is between $20,000-$30,000, there is also the possibility of an exception to the formulas to eliminate a "cliff effect" of the floor of $20,000. In these cases, it might be necessary to depart from the lower end of the range, depending on the payor’s circumstances and his/her ability to pay.
TIP: There is a built-in conversion feature. See the help under "Employment Income".

[Desperate_Dad]

and this...

Social assistance (auto clawback)

Input the annual amount of non-taxable Social assistance payments received by the party (T1, Line 145; T5007 slip, Box 11). Note that these Social assistance payments will be automatically clawbacked (ie. reduced) by the amount of child and/or spousal support received on dollar for dollar basis, in accordance with the practice of most social service agencies, in the determination of the party's NDI in the Support Scenarios. (Further note that while social service agencies may further clawback the Canada Child Tax Benefit, GST credits and other refundable tax credits, the software does not automatically account for these additional clawbacks.) If you do not wish the software to automatically clawback the Social assistance payments, go to "Social assistance (no clawback)".
In the determination of spousal support under the SSAG, the software will automatically deduct this Social assistance income from the party's annual income (SSAG, s.6.2).
In the determination of child support under the CSG, the software will automatically gross up this Social assistance income (after deduction of social assistance not attributable to spouse: CSG, Sch. III, s.4) for the purposes of determining the party's Guidelines Income. In other words, the software will determine how much gross employment income the party would have to earn at his/her current marginal tax rate (including CPP and EI premiums), in order to have this non-taxable Social assistance (after any adjustment).
Although non-taxable, these Social assistance payments are included as income when calculating the Canada Child Tax Benefit and other refundable and non-refundable credits.
According to the CSG, annual income is determined using Line 150 ("Total income") of the T1 General form, adjusted in accordance with Schedule III and ss. 17, 18 and 19 of the CSG. This is commonly referred to as "Guidelines Income".
Note that the SSAG use the same definition of annual income as under the CSG.
See the help under "Employment Income" regarding Guidelines Income caps under the CSG and ceilings, floors, and floor exceptions under the SSAG.
TIP: There is a built-in conversion feature. See the help under "Employment Income".