Colorado court redefines child support calculations with Social Security

The Colorado Court of Appeals recently ruled that Social Security benefits can be included as income when calculating child support. This decision could increase child support payments for Social Security recipients and represents an important change in family law.

Generally, ex-spouses with higher incomes pay alimony during the marriage, serving as a safety net for those who have given up their careers for family reasons. However, alimony laws vary from state to state, and legal advice is recommended to understand the obligations in the divorce process.

The Colorado court struck down a section of federal law that says Social Security benefits cannot be assigned or transferred. In contrast, it argued that those benefits should be considered income in resolving child support disputes.

In one lawsuit, retiree Riley McClure objected to his Social Security benefits being included in his ex-spouse's alimony calculation. However, Judge David H. Yun affirmed that Social Security benefits should be included as income for alimony purposes.

Social Security Child Support Calculations in Colorado

Consequently, Mr. McClure's state benefits were included in the final support amount, solidifying the Court's position on this issue.

Judge Yun's decision implies that Social Security retirement benefits can indirectly affect the award of alimony or child support. His ruling resulted in McClure's Social Security benefits being taken into account when determining his spousal support payments, resulting in changes to the way his spousal support is calculated. This sets a potential precedent for similar cases in the future.

This could impact other seniors in similar situations, potentially leading to higher alimony payments for those receiving Social Security benefits. Conversely, alimony recipients could seek higher payments if their former spouses fail to properly declare Social Security benefits.

Kevin Thompson, founder and CEO of 9i Capital Group, explained that many states and courts already include Social Security as income when calculating child support. Resistance is to be expected, especially from seniors struggling with rising living costs, as their Social Security benefits could be indirectly used for child support payments. The impact on recipients' financial stability and well-being could spark debates about whether Social Security payments should be part of child support decisions.

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