In a divorce, there are numerous financial aspects to consider, including property division, spousal support, and child support. One vital element that plays a significant role in calculating support payments is the determination of income. However, in some cases, one of the spouses might intentionally remain unemployed or underemployed to avoid financial obligations. To tackle such situations, Maryland law permits the court to assign imputed income to the spouse in question. Imputed income is an estimation of the amount that the spouse can potentially earn based on their qualifications, work history, and the local job market.
Unraveling the Concept of Imputed Income
Imputed income refers to the courts assigning income to a spouse who is not currently earning their full potential income. The objective behind imputed income is to prevent a spouse from deliberately suppressing their earnings, thereby reducing the amount they need to contribute towards support payments. It is important to note that the court can assign imputed income to a spouse, even if they are currently unemployed or earning less than their capabilities allow. The court will determine the imputed income based on the spouse’s employment history, education, qualifications, and other relevant factors.
Instances Where Imputed Income Applies in Maryland Divorce Cases
Imputed income can come into play in different scenarios, including:
1. Intentional Unemployment
If a spouse is intentionally unemployed or voluntarily quits their job, the court can assign imputed income to them if it determines that their unemployment was a deliberate choice. For instance, if the spouse has repeatedly quit jobs with the purpose of evading support payments, or if they consistently reject suitable job offers, imputed income may be assigned.
2. Underemployment
When a spouse is deemed underemployed, the court has the authority to assign imputed income based on the potential earnings they could achieve with their training, education, and work history. For example, if a spouse possesses a culinary degree but is currently employed at a fast-food restaurant, the court may assign imputed income based on their earning potential as a professional chef.
3. Self-Employment
In cases where a spouse is self-employed, the court may assign imputed income if it is discovered that their reported income is incorrect or misleading. For instance, if the spouse submits tax returns that intentionally underreport their actual income or falsely claims to have more expenses than they do, imputed income can be used to assess support payments.
Challenging Imputed Income in Maryland
If a spouse disagrees with the court’s imputed income determination, they have the right to challenge it by presenting evidence of their actual earnings or their sincere efforts to find employment. The spouse can argue that their unemployment or underemployment was not deliberate and showcase their genuine attempts to secure suitable employment. To substantiate their challenge, the spouse may submit job applications, resumes, or any other relevant evidence that demonstrates their job search endeavors and income potential.
In Conclusion
Imputed income plays a crucial role in divorce cases, as it directly impacts the amount of support payments a spouse has to provide. If you are going through a divorce and have concerns regarding imputed income, it is essential to seek guidance from an experienced family law attorney. Such a legal professional can review your case, gather supporting evidence, and present a persuasive argument to the court, ensuring that the imputed income determination is fair and accurate. By consulting with an attorney, you can better understand your rights and available options during this challenging time.