| The percentage guidelines are applied to | | | | purpose of determining net income. |
| the supporting parent's net income. The | | | | 2) State Tax. |
| starting figure for net income is the | | | | 3) Social Security. |
| total income from all sources and is | | | | 4) Mandatory retirement contributions. |
| interpreted broadly. For example, a | | | | 5) Union dues. |
| worker's compensation award has been | | | | 6) Dependent and individual health |
| held to constitute income (In re | | | | insurance. |
| Marriage of Dodds, 222 Ill. App. 3d 99). | | | | 7) Prior obligations of support or |
| Additionally, pension benefits, when | | | | maintenance with a court order. |
| paid, are considered income for purposes | | | | 8) Expenditures for repayment of debts |
| of calculating support (In re Marriage | | | | incurred for the production of income, |
| of Klomps, 286 Ill. App. 3d 710). In re | | | | certain medical expenses and certain |
| Marriage of Baylor, 324 Ill. App. 3d | | | | expenditures for the benefit of the |
| 213, mother's military allowance for | | | | child or other parent, exclusive of |
| off-base housing and other living | | | | gifts. |
| expenses should have been included in | | | | Determining net income should not be a |
| net income. | | | | highly contested issue. The calculation |
| Some courts have made exceptions from | | | | is truly mechanical with the exception |
| the statutory inclusion of "all income | | | | of the court's discretion on whether or |
| from all sources". In re Marriage of | | | | not an expense is "reasonable and |
| Feesen, 275 Ill. App. 3d 97, the court | | | | necessary". In some cases, a party will |
| properly refused to consider passive | | | | have expenses being deducted from pay |
| income reported on Husband's income tax | | | | which are not necessary in an effort to |
| returns because the testimony proved | | | | reduce the net income. For example, the |
| that Husband did not receive the income. | | | | person may have an auto payment being |
| The income was retained by his company | | | | deducted from pay. In that case, the |
| and simply was an effort to reduce the | | | | payment needs to be added back into the |
| company's debt. With regard to a | | | | calculation for net income. In other |
| personal injury settlement, the court | | | | cases, there may be an unnecessary |
| found that only the portion of the | | | | deduction for installment purchases that |
| recovery that replaced past and future | | | | someone permits to be deducted from the |
| lost income could be considered | | | | paycheck. As above, that payment must |
| (Villanueva v. O'Gara, 282 Ill. App. 3d | | | | be added back for proper calculation |
| 147). | | | | purposes. |
| Several expenditures are subtracted from | | | | If the parties are adequately |
| total income to derive the net income. | | | | represented by counsel, many of the |
| The following are said expenditures: | | | | issues regarding net income will become |
| 1) Federal Tax. The tax must be at the | | | | simplified. Once a party is made aware |
| properly calculated level. If a | | | | of the guidelines and the court's likely |
| non-custodial parent over withholds and | | | | ruling, an agreement should be easily |
| overpays his or her income tax, the | | | | obtainable. |
| overpayment should be added back for the | | | | |