Georgia Child Support Calculation Gross Income

Georgia Child Support Calculation Gross Income – When determining income for child support, the “gross income” of each parent shall be used to calculate the presumptive amount of child support to be paid by each parent towards the care of their dependent child or children.  O.C.G.A. § 19-6-15(a)(12) defines “gross income” as all income to be included in the calculation of child support.

Georgia Child Support Calculation Gross Income

O.C.G.A. § 19-6-15(f) provides that “child support shall income all income from any source, before deductions for taxes and other deductions such as preexisting orders for child support and credits for other qualified children, whether earned or unearned, and incomes but is not limited to, the following:” (emphasis added.)

(A) Attributable Income, INCLUDING

  1. Salaries;
  2. Commissions, fees, and tips;
  3. Income from self-employment;
  4. Bonuses;
  5. Overtime payments;
  6. Severance pay;
  7. Recurring income from pensions or retirement plans including, but not limited to, United States Department of Veterans Affirs, Railroad Retirement Board, Keoghs, and individuals retirement accounts;
  8. Interest income;
  9. Dividend income;
  10. Trust income
  11. Income from annuities;
  12. Capital gains;
  13. Disability or retirement benefits that are received from the Social Security Administration pursuant to Title II of the federal Social Security Act;
  14. Workers’ compensation benefits, whether temporary or permanent;
  15. Unemployment insurance benefits;
  16. Judgements recovered for personal injuries and awards from other civil actions;
  17. Gifts that consist of cash or other liquid instruments, or which can be converted to case;
  18. Prizes;
  19. Lottery winnings;
  20. Alimony or maintenance received from persons other than parties to the proceeding before the court;
  21. Assets which are used for the support of the family; and
  22. Other income.

(B) Self Employment Income.  Income from self-employment INCLUDES income from, but not limited to:

  1. business operations (Harrell v. DHR, 300 Ga. App. 497 (2009)
  2. work as an independent contractor or consultant,
  3. sales of goods or services, and
  4. rental properties

LESS ordinary and reasonable expenses* necessary to produce such income.

Income from self-employment, rent, royalties, proprietorship of a business, or joint ownership of a partnership, limited liability company, or closely held corporation is defined as:  Gross Receipts – Ordinary and Reasonable Expenses Required for Operations*=Self Employment Income.

*Ordinary and reasonable expenses of self-employment or business operations necessary to produce income

DO NOT INCLUDE:

  1. Excessive promotional, travel, vehicle, or personal living expenses, depreciation on equipment, or costs of operation of home offices; or
  2. Amounts allowable by the Internal Revenue Service for the accelerated component of depreciation expenses, investment tax credits, or any other business expenses determined by the court or the jury to be inappropriate for determining gross income.

In general, self employment income and expenses from operation of a business should be carefully reviewed.  Generally, the gross income amount of self employment income will differ from a determination of business income for tax purposes.  Partnership shares of businesses reflected in income tax returns may also be considered by the courts when calculating child support. (Appling v. Tatum, 295 Ga. App. 78 (2008)).

C.  Fringe Benefits.  Fringe benefits for inclusion as income or “in kind” remuneration received by a parent in the course of employment, or operation of a trade or business, SHALL be counted as income IF the benefits significantly reduce personal living expenses, INCLUDING, but not limited to:

  1. Use of a company car,
  2. housing, or room and board

Fringe benefits SHALL NOT INCLUDE employee benefits that are typically added to the salary, wage, or other compensation that a parent may receive as a standard added benefit, including, but not limited to:

  1. employer paid portions of heath insurance premiums or
  2. employer contributions to a retirement or pension plan

D.  Variable Income, INCLUDING:

  1. Commissions,
  2. bonuses,
  3. overtime pay,
  4. military bonuses, and
  5. dividends

Variable income SHALL BE AVERAGED by the court or the jury over a reasonable period of time consistent with the circumstances of the case and added to a parent’s fixed salary or wages to determine gross income.  When income is received on a irregular, nonrecurring, or one-time basis, the court or the jury MAY, but is not required to, average or prorate the income over a reasonable specified period of time OR required the parent to pay as a one-time support amount a percentage of her or her non-recurring income, taking into consideration the percentage of recurring income of that parent.

Military compensation and allowances.  Income for a parent who is an active duty member of the regular or reserve component of the United States armed forces, the United States Coast Guard, the merchant marine of the United States, the commissioned corps of the Public Health Service or the National Oceanic and Atmospheric Administration, the National Guard, or the Air National Guard SHALL INCLUDE:

  1. Base pay;
  2. Drill pay;
  3. Basic allowance for subsistence, whether paid directly to the parent or received in-kind; and
  4. Basic allowance for housing, whether paid directly to the parent or received in-kind, determined at the parent’s pay grade at the without dependent rate, but shall include only so much of the allowance that is not attributable to area variable housing costs.

Except as determined by the court or jury, the following SHALL NOT be considered income for the purpose of determining gross income:

  1. Special pay or incentive pay
  2. Allowances for clothing or family separation, and
  3. Reimbursement expenses related to the parent’s assignment to a high cost of living location.

EXCLUSIONS FROM GROSS INCOME

The following are excluded from gross income for purposes of calculating child support. (O.C.G.A. § 19-6-15(f)(2).

  • Child support payments received by either parent for the benefit of a child from another relationship;
  • Benefits received from “means-tested public assistance programs” such as PeachCare for Kids, Temporary Aid to Needy Families (TANF), Food Stamps and Social Security Income received by disabled adult children of deceased disabled workers;
  • Foster care payments paid by the state or an arm of the state agency; and
  • The spouse of a parent or a nonparent custodian’s gross income.

Georgia Child Support Calculation Gross Income – If you have questions about how to use the Georgia Child Support Worksheet when you are determining your gross income or you need help with completing an uncontested divorce – Contact the  Remboldt Law Firm at 404-348-4081.

 For more information on the Georgia Child Support Calculation Gross Income – you may find the Georgia Child Support Worksheet helpful.  Also, if you are considering an uncontested divorce, you may find the Uncontested Divorce Worksheet helpful in moving forward with an uncontested divorce.