What is a lump sum payment of child support?

A lump sum payment of child support is a one-time payment to cover the costs of raising a child, rather than regular installment payments. In the state of New York, when a court orders one parent to pay child support, the amount must be paid in full before the 18th birthday of the child or until the court orders otherwise. Lump sum payments of child support should be used only as a last resort and should only be granted in extreme cases where a regular payment plan is unable to cover the costs associated with raising a child. For example, a lump sum payment might be ordered if the non-custodial parent has a large financial windfall, such as winning the lottery. The court must approve any agreement between the custodial and non-custodial parent regarding a lump sum payment of child support. The court must ensure that the amount is reasonable and that it covers all of the costs associated with raising the child. The court also reviews the terms of the agreement and can modify it if necessary. Moreover, lump sum payments are taxed differently than regular child support payments. Generally, lump sum payments are not tax deductible like regular support payments. The custodial parent may have to pay taxes on the lump sum payment at the end of the year, depending on the total amount received. In conclusion, a lump sum payment of child support is a one-time payment to cover the costs of raising a child. The court must approve any agreement between parents and review the terms of the agreement. Furthermore, lump sum payments are not tax deductible and the custodial parent may have to pay taxes on the lump sum payment.

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What is a lump sum payment of child support?

What is a lump sum payment of child support?

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