Is a lump sum payment acceptable in lieu of regular child support payments?

In Massachusetts, a lump sum payment is an acceptable form of child support, but it is not always the best option. If a lump sum payment is made, it should be the equivalent of all the payments that would have otherwise been made during the duration of the court’s order. It is important to understand that a lump sum payment is a one-time-only payment and the court will not require any future payments. If a lump sum payment is made, it must be stated to the court that it is in lieu of all monthly payments. The court may also require additional information before allowing a lump sum payment, such as the parties’ agreement in writing of the lump sum, an explanation as to why the lump sum was chosen, and financial documentation. In addition, if the party receiving child support is receiving public assistance, the lump sum payment must be reviewed and approved by the Department of Transitional Assistance (DTA). DTA must also be notified of the payment and the amount and any necessary adjustments will be made. Finally, it is important to note that a lump sum payment is only acceptable if the amount is the equivalent to the total of all payments that would have otherwise been paid. A lump sum payment should also be a considered a last resort and only be used when it is the best option for the parties involved.

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