Switch to ADA Accessible Theme
Close Menu
Lakeland Family & Divorce Attorney
Schedule A Consultation Today! Phone Logo Icon 863-619-5291
Lakeland Family & Divorce Attorney / Blog / Divorce / Understanding Imputed Income in Florida Divorce Cases

Understanding Imputed Income in Florida Divorce Cases

DivMoney2

Florida divorce cases often involve the determination of alimony and child support. If your divorce case involves the determination of alimony and child support, you can be sure that the financial aspect of your life and that of your soon-to-be ex-spouse will come under a microscope. This is because these determinations are usually based on the financial circumstances of the divorcing parties. For instance, an alimony amount may be ordered after the court determines both spouse’s income and finds that one party has a financial need for alimony and the other has the financial ability to pay alimony. The amount ordered will depend on various factors, including income, financial needs, and earning potential. However, complications can arise if one party intentionally alters their financial situation by, for example, quitting their job or accepting a part-time job to evade paying support. In such a case, the court may impute income to that party. Here is what you need to know about imputing income in a Florida divorce case.

What Does It Mean To Impute Income?

Imputing income means the court assumes a party has a certain amount of money, even if, in reality, they don’t have such an amount. Usually, courts impute income when they believe a party is deliberately earning less than they could. Basically, when the court imputes income, it treats the individual as if they are earning the amount they could reasonably be expected to earn. The court can impute income on its own, or it can do so at the request of one party.

So, why do courts impute income? There are two main reasons why courts impute income in Florida divorces. First, it ensures fairness. It prevents one party from gaining an unfair advantage over the other party. Imputing income ensures that a party meets their financial obligations. Second, courts may impute income to punish the dishonest party.

Behaviors That Often Lead To the Imputation of Income

Voluntary unemployment and underemployment are the two common behaviors that lead to the imputation of income. Voluntary unemployment is when a person deliberately quits a job or acts in a manner that results in them being fired from their job. On the other hand, voluntary underemployment is when a person foregoes an opportunity to earn more money without a good reason for doing so. These actions are seen as an attempt to evade financial obligations, leading the court to take corrective measures.

What Amount of Income Do Courts Impute?

In Florida, courts consider several factors when deciding what amount of income to impute. However, a general rule is that the court can’t impute an amount higher than the party has ever made. The only exception is if an individual has never made an income. To decide how much to impute, the court can consider several factors, including;

  • The individual’s employment history
  • The individual’s education and skill level
  • The job market conditions in that particular industry

For example, suppose a court finds that a party made between $40,000 and $50,000 a year over the past three years. In such a case, the court may choose to impute $50,000. If, upon further investigation, the court notes that in the individual’s career field, people are expected to earn less over the coming years, the court may impute a lower amount.

Contact Us for Legal Help

Are you dealing with a divorce case involving imputed income, or do you suspect your spouse is voluntarily unemployed or underemployed? Contact a skilled Lakeland divorce attorney at Darla K. Snead, P.L. for legal guidance.

Facebook Twitter LinkedIn