How Child Support Is Calculated in Alberta Under the Guidelines

When parents separate in Alberta, child support is not usually a matter of negotiating a number from scratch. The amount is set by guidelines that use a formula, so the same few facts tend to drive the result: the paying parent's income, how many children are involved, and how parenting time is shared.

This article walks through the calculation in the order it is usually approached. It explains the rules in plain words, points out the exceptions, and finishes with what to gather before you talk to a lawyer or start a court application.

This article covers the law of Alberta.

The basic formula

For a child under the age of majority, the amount of a child support order is the applicable table amount plus any amount for special or extraordinary expenses. Those two pieces are the core of every calculation.

The courts must follow the guidelines. On a child support application under the Divorce Act, the court must make the order in accordance with the applicable guidelines. In cases that are not divorces, judges must follow Alberta's child support guidelines, which adopt the Federal Child Support Guidelines.

Step 1: Work out the paying parent's income

Table amounts are driven by the paying parent's annual income, the number of children, and the province of the payer. Income is taken from the 'Total income' line of the T1 General tax form, adjusted under Schedule III.

Real life is often messier than one tax line, so the guidelines allow some flexibility:

• Spouses may agree in writing on income, and the court may accept the agreed figure if it is reasonable.
• If this year's income would not fairly reflect a person's income, the court may look at the last three years, for example where income fluctuates or is non-recurring.
• For a shareholder, director or officer of a corporation, the court may attribute all or part of the corporation's pre-tax income to the person where the salary figure does not fairly reflect money available for support.
• The court may impute income it considers appropriate, for example for intentional under-employment or unemployment, or unreasonable deductions of expenses.

There is also a floor. The tables state a threshold income of $12,000, below which no table child support is payable. Confirm that figure against the current tables.

Step 2: Count the children and look at parenting time

The number of children sets which column of the table is used. After that, the parenting schedule decides whether the straightforward table amount applies or a different approach is needed.

Where the paying parent stands in the place of a parent for a child, the court sets the amount it considers appropriate, having regard to the guidelines and any other parent's legal duty to support the child.

Step 3: Add extras and check for exceptions

On a parent's request, the court may add an amount for special or extraordinary expenses. These include child care, the child's share of medical or dental insurance premiums, certain health-related costs, extraordinary school or educational programs, post-secondary education, and extraordinary extracurricular activities.

The guiding principle is that these expenses are shared in proportion to the parents' incomes, after deducting any contribution from the child. The court must also take into account subsidies, benefits, and tax deductions or credits related to the expense.

Two exceptions can change the table result. Where the payer's income is over $150,000, the court may depart from the plain table amount. And the court may award a different amount if a parent or child would otherwise suffer undue hardship, although a hardship claim must be denied if the claiming parent's household would have a higher standard of living than the other household.

What to do next

Income disclosure is central. When an application is made, the applicant must include every personal income tax return filed by the other spouse for the three most recent taxation years, plus every notice of assessment and reassessment for those years. A respondent who is served must provide the same documents within 30 days if in Canada or the United States, or 60 days if elsewhere, unless the court sets another deadline.

• Gather your last three years of tax returns and notices of assessment.
• Collect recent pay information, or business financial statements if you are self-employed.
• Write out the actual parenting schedule over a full year.
• List child care, medical, school and activity costs, and any subsidies or credits.
• Ask a lawyer how any non-standard income, such as corporate or fluctuating income, may be treated.

Frequently asked questions