In Ontario, divorced or separated parents are legally obligated to support their children. This obligation extends to earning income to the best of their ability. This article delves into the intricacies of this duty, discussing the factors courts consider when determining income, the concept of imputed income, and the potential consequences of failing to fulfill this obligation.

The Legal Framework

The primary legislation governing child support in Ontario is the Family Law Act and the Federal Child Support Guidelines. These guidelines provide a comprehensive framework for calculating child support based on both parents’ incomes. The Family Law Act sets out the general principles governing child support, while the Federal Child Support Guidelines provide specific formulas and tables for calculating child support amounts.

The guidelines are based on the premise that children should receive a level of support proportionate to the standard of living they would have enjoyed if their parents had remained together.

When calculating child support, courts consider both parents‘ incomes, the number of children, and the cost of living in the area where the children reside. The overarching principle is that both parents share responsibility for supporting their children, and their income-earning capacity is a crucial factor in determining the amount of support.

Determining Income-Earning Capacity

Courts in Ontario consider various factors when assessing a parent’s income-earning capacity. These factors include:

Education and Training

The parent’s level of education and training can significantly impact their earning potential. For instance, a parent with a university degree and specialized training may be expected to earn more than a parent with a high school education. Additionally, the specific field of study and the level of expertise can also influence a parent’s earning capacity. For example, a parent with a degree in engineering or law may have higher earning potential than a parent with a degree in a less specialized field.

Work History

A parent’s past employment history provides valuable insights into their earning capacity. A consistent work history with promotions, salary increases, and career advancement demonstrates a strong work ethic and potential for future growth. Conversely, a history of frequent job changes or periods of unemployment may indicate a less stable earning potential.

Health

Physical and mental health conditions can affect a parent’s ability to work and earn income. If a parent has a disability or chronic illness that limits their earning capacity, the court will consider this. However, the court may also consider whether the parent has taken steps to mitigate the impact of their disability or illness, such as seeking medical treatment or accommodations in the workplace.

Childcare Responsibilities

Parents’ childcare obligations may limit their ability to work full-time or pursue certain career paths. Courts will consider each parent’s specific circumstances and care arrangements. For example, a parent who is the primary caregiver for a young child may need to work a more flexible schedule or reduce their hours to accommodate childcare responsibilities.

Age

A parent’s age may influence their earning potential. Younger parents may have more opportunities for career advancement and higher earning potential. In comparison, older parents may have reached the peak of their earning capacity or may be facing age-related challenges in the workplace. However, the court will also consider the specific circumstances of each parent, such as their experience level, industry trends, and potential for retraining or upskilling.

Geographic Location

The cost of living in a particular region can impact a parent’s income requirements. A parent living in a high-cost area may need to earn more to meet their basic needs and support their children. Additionally, the availability of job opportunities and the average wages in a particular region can also influence a parent’s earning potential.

Potential for Increased Income

Courts may consider whether a parent could reasonably increase their income through additional education, training, or career advancement. If a parent has the potential to earn more, they may be expected to do so. However, the court will also consider the feasibility of such steps, including the cost, time commitment, and potential benefits.

Imputed Income

In certain circumstances, a court may impute income to a parent who is not earning to their full potential. This means the court will assign a hypothetical income based on the parent’s earning capacity, even if they are not employed or underemployed. Imputed income can be a significant factor in determining child support obligations.

Factors that courts may consider when imputing income include:

• The parent’s education and training
• The parent’s work history
• The availability of jobs in the parent’s field
• The parent’s childcare responsibilities
• The parent’s health

Consequences of Failing to Fulfill the Duty to Earn Income

Failing to fulfill the duty to earn income can have serious consequences. A parent found to be deliberately underemployed or unemployed may be ordered to pay child support based on their imputed income. Additionally, a parent who fails to meet their child support obligations may face legal consequences, such as:

Wage garnishment

The court may order the payor parent’s employer to withhold a portion of their wages to satisfy the child support obligation. This can be a significant financial burden for the payor parent, as it may leave them with insufficient funds to meet their own needs.

Interest and penalties

The court may impose interest and penalties on overdue child support payments. These can add up quickly, making it even more difficult for the payor parent to catch up on their child support obligations.

Contempt of court

A parent who repeatedly fails to comply with a child support order may be found in contempt of court. This can result in fines or imprisonment, and it can also negatively impact the parent’s reputation and future job prospects.

Contact NULaw for Comprehensive Child Support Advice in Toronto

The duty of divorced or separated parents to earn income is a fundamental principle of family law in Ontario. At NULaw, our knowledgeable family lawyers help parents understand their rights and obligations regarding child support and other parenting considerations after a separation or divorce. We develop trusted legal solutions to meet your family’s unique needs. To discuss your family law matter with our team, please contact us online or call 416-481-5604.