How is child support calculated when a parent is self-employed?

In California, when the parent paying child support is self-employed, the courts use the parent’s gross income to calculate the base level of support. Gross income is the money made before any business expenses or deductions are taken out. The court looks for an exact amount, so the parent will usually have to provide business records and tax documents to the court to show the exact amount of income and deductions. The court will also look at other financial factors to determine the final amount, including any other available income, and the costs of childcare, medical care, and educational needs for the children. The court may also consider other factors such as the age of the children, the number of children, and the amount of time the children are in the care of each parent. To ensure that the parent is able to pay their child support, the court will also set reasonable expenses that the parent can deduct from their gross income. These deductions include reasonable business expenses, reasonable expenses incurred by the parent to support the children, and income taxes. The final amount of child support can be different from the base amount calculated using the parent’s gross income if the court considers other factors, such as the above. The court will also ensure that the amount of child support is fair and just to both parents and that it meets the needs of the children.

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How is child support calculated when a parent is self-employed?

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