worried gal
Junior Member
What is the name of your state?Il
My boyfriend is in the process of finalizing property & child support issues. Part of the child support calculation includes that he pay 1/2 of child care costs. However, I know that the ex will get a tax break (either through a flex plan or at year end on her taxes) and that he will in reality be paying more than 1/2 of the true costs. For example, if daycare is $100 a week and she is in the 30% tax bracket - her true costs are only going to be $70 (tax break of $30). If he pays $50 - her true cost is only $20. Has anyone seen it stated to take into the account the effect of taxes?
My boyfriend is in the process of finalizing property & child support issues. Part of the child support calculation includes that he pay 1/2 of child care costs. However, I know that the ex will get a tax break (either through a flex plan or at year end on her taxes) and that he will in reality be paying more than 1/2 of the true costs. For example, if daycare is $100 a week and she is in the 30% tax bracket - her true costs are only going to be $70 (tax break of $30). If he pays $50 - her true cost is only $20. Has anyone seen it stated to take into the account the effect of taxes?