In British Columbia, child support is determined primarily by using the Federal Child Support Guidelines. These Guidelines set out a structured way to calculate support. But, what happens when one or both parents have high incomes far exceeding the thresholds set by the Guidelines? A recent family law case in British Columbia provides a compelling example of how the courts navigate these situations.

Case Overview

In W.A.K. v C.R.A.M, 2024 BCSC 2009, the parties both sought interim child and spousal support, among other interim relief.

The parties were in a relationship for 22 years and have three teenaged children together, J., A., and C. The parties are very wealthy. The claimant mother is a lawyer holding a senior executive position at a copper mining company, and the respondent father is an otolaryngologist. Their family assets are valued at over $21 million.

After their separation in 2022, the children continued to live in the family home with the father. Later on, in 2024, the oldest child, J., moved away to begin university and the daughter, C., went to live with her mother. C. was admitted to the hospital due to symptoms associated with an eating disorder. After she was discharged from the hospital, she expressed her desire to reside primarily with her mother.

Positions of the Parties

The claimant mother, a high-income earner, argued that no child support should be ordered, as she had been paying $25,000 every month in family expenses, just as she did prior to separation. She also pointed out that a portion of that monthly amount covered expenses the father had included in his own budget. The mother argued that the child support should be considerably lower than the usual table amount she was already paying, depending on the parenting arrangements for each child, various income scenarios, and in each scenario, she argued that the table amounts for child support would be considerably lower than the amount she was already paying.

The father, on the other hand, argued for the table amount of child support, which would total $76,174, assuming two children (J. and A.) were residing primarily with him and the third (C.) with the mother.

How Child Support Was Assessed

Child support is calculated based on the parents’ incomes. In this case, the mother’s income was set at $6.7 million, while the father’s was $408,983.

When a parent’s income exceeds $150,000, the court has some flexibility to deviate from the standard child support table amount under the Guidelines, which is based on the number of children and the payor’s income.

Since the mother’s income is well-above $150,000, the court considered the children’s needs, the parent’s financial circumstances, and their standard of living during the relationship, when determining the appropriate amount of child support.

So, what amount of interim child support was appropriate in this case?

The Court’s Decision

The court agreed with the mother that the support should not be based strictly on the standard table amount (which would be a set off amount of $47,298) due to the unusual circumstances of the case, considering the family’s means and needs.

The mother’s income had risen dramatically since the parties’ separation, and the court did not want child support to result in an inappropriate transfer of wealth in the father’s favour, which would be inconsistent with the purposes of child support. The court noted that while the children were in the father’s care, their needs could still be met adequately by considering the parties’ combined historic income.

It was ultimately determined that the children should still benefit in part from the mother’s increased income. Accordingly, the court ordered that the mother pay interim child support of $25,000 per month, in addition to the family expenses she was already paying.

In making this interim order, the court used its discretionary power to determine what it considered to be the appropriate amount of child support, having regard to the condition, means, needs, and other circumstances of the children and each spouse’s financial ability to contribute to the children’s support.

Conclusion

This case highlights the complexities of calculating child support for high-income parents. While the Guidelines provide a baseline, the court has the flexibility to adjust support based on the unique circumstances of the family, while always prioritizing the children’s best interests.