Can parents agree to use a different income figure than the actual income for child support?

Parents can include an agreed income figure in a separation agreement for child support calculation purposes, but there are important limits. A court will scrutinize any agreed income that is significantly lower than the payor's actual income, because child support obligations exist for the benefit of the child — not for the convenience of the parents.

If both parents knowingly agree to a lower income figure in exchange for some other benefit (for example, the payor transfers a larger share of property in lieu of higher support), the agreement may be accepted if the court is satisfied the child's needs are adequately met by the resulting support amount. However, if either parent later seeks to vary the order, or if the FRO or a court reviews the arrangement, a significantly understated income figure can be challenged. Courts have set aside separation agreements with clearly unrealistic income figures.

Using a stipulated income can be reasonable in cases where income is genuinely difficult to predict — for example, a self-employed person with highly variable earnings who agrees to use an average figure. The key is that the figure must be realistic and arrived at in good faith, not designed to reduce support below what is appropriate. Get legal advice before agreeing to any income figure that departs meaningfully from the tax return, and make sure the agreement documents the basis for the number.