Child Support and Alternate Living – How Does It Work?

Wealthy Parent May Still Need to Pay Child Support

When parents have similar incomes and expenses, generally, neither parent needs to pay child support to the other. However, if there are significant differences in income, an exception applies, as highlighted in the case NJA 2013 s. 995. The ruling states:

• A parent’s obligation to support depends on the child's needs and the combined financial ability of the parents.
• A child may claim greater support in line with the better financial circumstances of the parents.
• The child has the right to live at a level that does not significantly deviate from the standard of the wealthier parent, even during the time spent with the less wealthy parent in joint custody.

In court, the decision will be based on a reasonableness assessment of the circumstances of each individual case.

There are relatively few court cases regarding child support in joint custody. Therefore, it is difficult to make definitive statements about when child support is applicable in such cases. It is likely relevant, for example, if one parent is living at subsistence level while the other is financially well-off.

How to Approach This as a Parent

• Foster a Healthy Dialogue About the Child’s Financial Needs: Distribution of money should focus on the child’s needs and upbringing, not on subsidizing an ex-partner's new life.
• Maintain the Same Financial Distribution Post-Separation: If both parents have similar incomes as before the separation, it’s often beneficial to keep the same financial arrangement for the children, e.g., 30/70 split.
• Seek Help When There Is a Significant Income Disparity: If there is a large difference in income between parents and you cannot reach an agreement, seek assistance from Family Court to achieve a fairer distribution. It’s also advisable to draft an agreement that becomes legally binding through a decision by the social services board.
• Consult a Family Law Attorney if Needed: If dialogue and agreements through Family Court are unsuccessful, book a consultation with a family law attorney to determine if the child is entitled to support despite joint custody.

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