In Utah family law cases, the imputation of income refers to the process by which a court assigns or attributes income to a party for the purpose of calculating child support or alimony obligations. This imputed income is used when the court believes that the party could earn more than they currently do but is intentionally choosing to earn less, either by being unemployed or underemployed.
What is the Rationale?
The rationale behind imputing income is to prevent parties from avoiding their financial responsibilities by purposefully remaining unemployed or working below their potential earning capacity. By imputing income, the court ensures that child support and/or alimony awards are based on what the party is capable of earning rather than what they are currently earning.
What Factors does the Court Analyze?
In Utah, courts may impute income based on various factors, including:
- employment opportunities;
- work history;
- occupation qualifications;
- educational attainment;
- literacy;
- age;
- health;
- criminal record;
- other employment barriers and background factors; and
- prevailing earnings and job availability for persons of similar backgrounds in the community.
See Utah Code Ann. 78B-12-203(8)(b).
Imputation of income is subject to certain legal standards and procedures, and courts must carefully consider all relevant factors before making a determination. In contested cases, a hearing is held to gather evidence and make findings of fact regarding the party’s earning capacity. Additionally, courts must provide reasoning and findings to support their decision to impute income.
Conclusion.
Overall, imputation of income plays a crucial role in ensuring fairness and equity in family law cases by preventing parties from shirking their financial responsibilities through purposeful unemployment or underemployment.
At Ellsworth Law Firm, we understand the complexities of family law and are here to provide compassionate and knowledgeable legal counsel and guidance. Give us a call to schedule a free initial consultation.