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Consider the following example and answer the multiple choice questions below.
Anne and Jon are getting separated. They have children and want to know the child support payments that will need to be made. They are asking for your help.
1. What information do you need before you can determine how much will be paid? Circle all that apply
a) How many children are there?
b) If the parents are married or not?
c) If the children are dependent?
d) What is the parenting arrangement? Sole or Joint custody?
e) What are their annual incomes?
f) The amount of family debt?
ANSWER: A, C, D, E
2. Anne is a pharmacist and makes $70,000 a year and Jon is a chef making $50,000. They live in BC and have 3 children - Susie, Pete, and Tommy - all under the age of 12. They’ve agreed to share custody of the children. What would their child support payments be?
a) 390
b) 300
c) 0
d) 600
e) 330
ANSWER: A - $390
Anne’s contribution would be $1388 per month. John’s contribution would be $998 per month. The difference is $390. Anne would pay John $390 per month for child support.
3. Which of the following would be a special expense? Circle all that apply.
a) Hockey equipment
b) New jeans
c) Piano lessons
d) Electricity bill for the family home
e) Math tutoring
ANSWER: A, C, E
4. For next semester, Susie is signed up for dance lessons, (costing $300), and Tommy is getting math tutoring, (costing $250). How much will Anne need to pay for cost of these expenses?
Choose the correct answer.
a) 300
b) 321
c) 229
d) 500
e) 550
ANSWER: B - $321
$70,000 + $50,000 = $120,000 total income
$300+$250 = $550 total expense
Anne’s income = $70,000/$120,000 = 58%. Anne would pay 58% of$ 550 = $321
John’s income = $50,000/$120,000 = 42%. John would pay 42% of$ 550 = $229
Marg 0.5833 x $30 = $175
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