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The link between child support and voluntary impoverishment

A parent awarded custody of their minor children or alimony in El Paso may find it difficult to obtain the support they are owed if voluntary impoverishment is a factor. The Office of Child Support takes the practice seriously and goes through cases to identify the accuracy of earnings to address the voluntary impoverishment practice.

Voluntary impoverishment is when a person underreports their earnings to the appropriate authorities to skew the child support formula in their favor. Working under the table is a common approach to manipulating the system to reduce child support obligations. The child support formula only factors in the earnings reported, so an individual may manipulate the system to avoid having to paying higher monthly amounts to custodial parents.

One approach to correcting this issue is to file a formal agreement through the Office of Child Support. By filing an agreement, an investigation into the person's finances can be launched. The financial records will closely be examined to assess how much the other parent may actually be entitled to in child support. The parent will receive a legally binding child support order intended to make it difficult for the other party to pay less in child support.

The Child Support Agency or family attorney may use a number of methods to identify the person's actual earnings. If the individual has recently made a large purchase, the credit information submitted could be used to determine the actual income. The work history may also be a tool in identifying the person's earnings. Financial records from other sources provides another means of identifying a person's actual earnings.

If a custodial parent is having issues with parenting time, custody and child support agreements after divorce, a family attorney may help resolve the matter. In cases where voluntary impoverishment is a concern, financial records may have to be examined for a higher monthly payment amount on a formalized child support agreement.

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