Inheritance and Child Support


#1

I pay child support based on the NC child support calculations and my ex and I have agreed to adjust the payment when needed (raises in salary, child care increase during summer months, etc…).

My ex will be getting an inheritance that includes property, one of which generates income from rent, a retirement account (IRA) and cash. My ex has agreed that the money received from rent will go into the calculation that determines support. My question is this, would the other items be considered income? If not, would that change if the property is sold and / or the IRA is withdrawn from?

I know the child support guidelines say “[size=75][color=#400000]When income is received on an irregular, non-recurring, or one-time basis, the court may average or prorate the income over a specified period of time or require an obligor to pay as child support a percentage of his or her non-recurring income that is equivalent to the percentage of his or her recurring income paid for child support.[/color][/size]” so we would probably average this income over a few years if it is considered income.

Thanks for your time.


#2

You are correct that the entire inheritance is considered income for child support purposes. Whether the court would look at those funds as lump sum income based on the actual inheritance or takes the monthly income and account withdrawals as income on an ongoing basis is in the court’s discretion when calculating the child support obligation.


#3

With the IRA set aside, I would think the cash received from the inheritance would be looked at as a lump sum. I know my ex will be selling the property as soon as possible so once the property is sold, I would think that amount would also be looked at as a lump sum. However, it is the court’s discretion if it will view the value of the property as a lump sum prior to it being sold.

Is my thinking on this correct?

Again, thank you for your time. It is great that there is a place to be able to ask questions and get answers, you are providing a great service. Thanks!


#4

The cash could be looked at as lump sum and if it is significant and would generate significant income, it could also be used to calculate ongoing support.