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Old 05-29-2009, 10:42 AM
Jamie28 Jamie28 is offline
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Default equalization payments

My ex and I are recently separated and we have equal custody of our two children. At the time of our separation we made the same salary. She has just changed jobs and is making $20,000 less. She is now entitled to $300/month equalization payments. She is also claiming that I must take care of 60% of the expenses of the children's activities, as well. Shouldn't the equalization payments put us on a level playing field?
Old 05-29-2009, 11:21 AM
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billm billm is offline
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I believe that 'equalization payment' is the term to split assets equally, this is a one time thing.

What you are describing is spousal support (SS), which I don't think she is entitled to because she switched jobs after you separated. Perhaps you are referring to CS (Child Support). They are different, calculated different, and taxed different.

How was this entitlement determined, have you started to pay it, is it a court order?

In my opinion you should not pay SS. Your CS should be adjusted yearly and based on your actual income, so you would pay her some CS (your CS table amount - her CS table amount is what you would pay). Then any extraordinay (aka special) expenses, of which not ALL activitites are, you pay in proportion to your incomes. Ones that are not 'special' meaning that almost all parents in your economic situation would do it - clothes, movies, maybe a normal camp, would be split 50/50 because CS has evened the amount of child money in each house. Medical, dental, big things, are unexpected and/or special - those you pay relative to your incomes.

Last edited by billm; 05-29-2009 at 11:23 AM.
Old 05-29-2009, 03:12 PM
Jamie28 Jamie28 is offline
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I guess the term (Salary) Equalization Payments is being used to avoid confusing Rev Can. If they get a whiff of the term Child Support, they won't let you claim any children through Canada Child Benefits on your taxes because it sounds like the children reside with the parent receiving the support. I have not started paying but we are using the Child Support Guidelines to come up with the $300. She waived her right to Spousal Support in the Separation Agreement.
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