Published Feb 1, 2015
TheDude,RN
7 Posts
I am a travel nurse, my base pay is $18/hour and i get a stipend for housing/food/travel that equals $21/hr... I am paying child support for three children at $1200.month. I recently started this job. Is my non taxable stipend counted as income towards calculations for child support?
NedRN
1 Article; 5,782 Posts
In short, almost certainly.
Are you speaking from experience Ned?
Nope. But I read and know that in front of a judge, all sources of income will be considered. You do have to pay for housing no matter your job so this is just a tax technicality. You may not even be eligible for a tax break unless you are maintaining another residence (for your own use). If so, then the IRS may come after you for back taxes on undeclared income.
If you are maintaining a home and are incurring extra housing expenses, I think most judges would look askance on that as well.
You make good money and the support is very reasonable. Why are you looking for loopholes? Man up!
WitchyPooh
11 Posts
perhaps Ned, but housing stipends are not considered income. It is considered reimbursement. That is why it isnt taxable. I think, but am not 100% sure, that only income is considered for child support. But I do agree, support those babies!! I raised my daughter without a penny of support from her father ever until he died and she was able to draw social security off him. It was not easy.
TheDude..when you find out for certain, please let us all know. It is an interesting question to say the least.
Loo17
328 Posts
I believe Ned is correct. All sources of income count toward child support including earned interest, lottery winning, etc. I would assume the stipends would count as well. If your court order is through NC this is what the law states:
1. Gross income:
Income†means a parent's actual gross income from any source, including but not limited to income from employment or self-employment (salaries, wages, commissions, bonuses, dividends, severance pay, etc.), ownership or operation of a business, partnership, or corporation, rental of property, retirement or pensions, interest, trusts, annuities, capital gains, social security benefits, workers compensation benefits, unemployment insurance benefits, disability pay and insurance benefits, gifts, prizes and alimony or maintenance received from persons other than the parties to the instant action.....Expense reimbursements or in-kind payments (for example, use of a company car, free housing, or reimbursed meals) received by a parent in the course of employment, self-employment, or operation of a business are counted as income if they are significant and reduce personal living expenses.
I think it takes a lot of guts to come into a public nursing forum and ask if he can evade child support. I'll bet the OP wishes he had taken the short answer.
In another example, if you are injured on the job, you can bet your sweet Betsy all that compensation, both taxed and untaxed will be included in a workers compensation claim, at least if you retain a lawyer. It will also be on the table during an illegal termination lawsuit. Just because you receive tax-free reimbursements as part of your package doesn't make them invisible or somehow not compensation!
You can also document your gross income to a bank for the purpose of loans. Your tax return does not rule in all circumstances.
PacoUSA, BSN, RN
3,445 Posts
Wouldn't the surplus portion of the housing stipend be considered income? If the stipend is $2000/mo and housing is $1000/mo, I would assume they could attach that excess, no?
If you are using the word income to mean taxable income, no, not if the traveler has met the tests of working away from a legitimate tax home temporarily.
In such hearings (see Loo17's paste of NC statute), all compensation is considered. It is irrelevant if some compensation pays for the cost of living or not, that is up to the judge hearing the case to determine. It has nothing to do with taxable versus non-taxed forms of compensation. There are a lot of deadbeats out there trying to get around child support from a failed marriage with various sorts of underground economy moves such as under the table payments (while taxable, it is usually not disclosed of course), and barter.
From what I read, it is not the affordability of child support driving many such evasions, it is emotional. Of course the emotions that evokes in the rest of us is disgust to see such abandonment of children just to spite the ex. I hardly think three children is the accident of a loveless marriage, but even so, it is despicable to take it out on children.
It is people like that that make for statutes like the one quoted above, to remove loopholes and protect children.
ellieheart
35 Posts
That's a ridiculous amount of money. Get a better lawyer!
DYS NP
93 Posts
>> "That's a ridiculous amount of money!"
Hmm. Ellie, I don't want to go off-topic, but I'm going to lay out some actual math:
Assuming, conservatively, that $1200 a month is for 2 kids (could be 3 or more), the OP's child support = $7200 a year per child.
--Where I live (New England), 7 weeks of the least expensive town-run summer camp, with extended day til 6 pm (necessary to cover work hours/commute), is $4200 per child, per summer.
--Remaining child support for the year after summer camp = $3000 per child.
--After-school care (also necessary for work, also the cheapest local option) is $300/week per child, or $1300/month. So, the $3000 left of annual child support = exhausted at 2.3 months of after-school care.
The cost for the remaining 6.7 months of after-school care? $8710 per child--already, $1500 more annually for the custodial parent than child support.
Factor in food, clothes, utilities, housing, uniforms, birthday and Christmas gifts (for the kids and from the kids for relatives and friends' parties), sports fees ($200 per activity, per child), trip fees, gas for pick up/drop off at all of the above, medical insurance and/or copays, lost work days for sick kids, vacations (didn't take any) ...
I'm not trying to embarrass you. I don't know whether you have kids, but if not, you wouldn't have a concept of how expensive it is for average income parents. Also, it's none of my business what the OP's custodial situation is, what his former partner earns compared with his salary, or how much time he or she is responsible for the children (1 weekend a month? 3 days/week?). I think it's awesome that he's paying support, but they are his and his ex-partner's kids—why wouldn't he? He's not ******** about it, just asking for clarification.
But $1200 a month isn't close to a ridiculous amount of money for ½ (or less) the support of children. Unless you're leaving them alone all day in front of the TV with a bag of Doritos and a 2 liter bottle of Coke, They Are Ridiculous Expensive (and worth it).
Red Kryptonite
2,212 Posts
Yeah, pay more legal fees and work your butt off to make sure you can shirk as much of your responsibility to your kids as possible! Especially considering this is a travel nurse so we know actual time spent with them is minimum.
This society's attitudes toward children are sickening.