*This is not legal advice. This article is for information purposes only.
Imputed income in family court refers to the assignment of income to a party involved in a divorce or child support case based on their earning potential rather than their actual income. This concept is typically used when one party is intentionally unemployed, underemployed, or voluntarily chooses to earn less than their potential income in order to lower their financial obligations, such as child support or spousal support payments.
Imputed income is determined by considering factors such as the individual’s education, work experience, previous earning history, occupational qualifications, and job market conditions. The court may consult expert witnesses or use guidelines to estimate the party’s potential income.
The purpose of imputing income is to ensure fairness in determining financial obligations and prevent individuals from avoiding their responsibilities by manipulating their income. However, it is important to note that imputed income should be based on reasonable and realistic expectations rather than punitive measures.
Imputed income can have significant implications for child support, alimony, and property division determinations in family court proceedings. It aims to ensure that support payments are based on a party’s true earning capacity rather than their intentional underemployment or unemployment.
