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Pension plan change affects my child support payment..how is this fair!

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  • Pension plan change affects my child support payment..how is this fair!

    My employer has changed my defined benefit pension plan to a defined contribution plan. Now my employer makes cash payments into my RRSP on my behalf. This RRSP payment is added as a taxable benefit to my income on Line 150. I then receive a tax receipt for these RRSP contributions so I do not have to pay income tax on this amount until I retire and start drawing on this money.

    This is my gripe with how child support tables work....
    Since my income on Line 150 has increased, my child support has gone up as well. Why do I have to pay higher child support today on income that is being sheltered for my retirement for the future? The calculation of child support in this case is unfair.

  • #2
    Originally posted by LifeMovesOn View Post
    This is my gripe with how child support tables work....
    Gripes about how the law works belong under political issues. Thread moved.
    Ottawa Divorce

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    • #3
      Originally posted by LifeMovesOn View Post
      ...
      This is my gripe with how child support tables work....
      Since my income on Line 150 has increased, my child support has gone up as well. Why do I have to pay higher child support today on income that is being sheltered for my retirement for the future? The calculation of child support in this case is unfair.
      Because that is how the tables were calculated.

      Given that someone makes x on line 150, this is how much they are expected to pay to raise their children, and how much people put away for retirement, or spend on themselves, etc, has already been taken into account.

      Everyone pays based on line 150. How much they decide to actually put away for retirement, or spend on cars, or vacations, or other things is up to them, but CS does not deal with individuals, it treats everyone the same for the sake of simplicity.

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      • #4
        And then there was that recent decision that basically spelled out that a Veterans Affairs Disability Pension is not income (Dennis Manuge class action suit) which does the exact opposite where some pension income becomes not reportable.

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