Maryland Child Support Question:
What do courts consider when setting a Maryland child support order? I have a regular full-time job, but I also currently have rental properties that I am losing money on every month.
Can the loss from my rental properties be considered in my income when determining a Maryland child support amount?
Answer from Maryland Divorce Lawyer Jeff Kim:
In Maryland, the actual income of the parties is used when calculating child support under the Maryland Child Support Guidelines.
Examples of actual income include: salaries, wages, commissions, bonuses, pension income, as well as rental income.
If one or both of the parties earns regular rental income, this income figure will be used when calculating the parties’ actual income in addition to any regular wages or salaries that the parties may earn.
Generally, the court will not allow losses from rental properties to offset a party’s regular wages or salary. For example, if an individual earned $5,000 in monthly gross income through his regular job and lost $500 per month from his rental property, the court will treat the individual as earning $5,000 per month and not use the loss from the rental to offset the regular wages or salary.
However, the loss from a rental property may be used to offset a party’s regular gross income if child support was originally calculated based on the payor earning a specific amount in rental income every month.
If the payor begins to lose money on the rental property after the child support order was issued, the payor may be able to seek a modification of the child support figure based on the reduction of rental income.
Whether a modification of child support will be ordered will depend on the amount of decrease in rental income and whether this decrease is deemed to be a material change in circumstance.
Maryland Child Support Lawyer
If you are a man facing divorce, please consult with a divorce lawyer in your jurisdiction to assist you with your child support issue. Cordell & Cordell has offices and family law attorneys located in Annapolis, Baltimore, and Bethesda should you seek additional information or possible legal representation.