Inheritance from a living trust

[x92870]

Both parents are in California and child support order is in California.

1. If the CP received a one time cash inheritance this year will it be used in calculation of new CS amount?

2. If the CP is the trustee to the children's cash inheritance will the children's cash inheritance be used in calculation of new CS amount?

[socrateaser]

Estate stuff is very fact specific. So...

>1. If the CP received a one time cash inheritance this year
>will it be used in calculation of new CS amount?

Maybe. Qs:
a. How much are we talking about?
b. How much do you ordinarily earn per year?

>2. If the CP is the trustee to the children's cash inheritance
>will the children's cash inheritance be used in calculation of
>new CS amount?

Maybe. Q:

a. How much are we talking about for each child?
b. What are the exact words of the trust appointment, i.e., "I hereby appoint my son trustee of $X for the benefit of my grandchildren, until such time as they reach the age of 21 years...", etc?

[x92870]

1. CP's cash inheritance is around $80 to 90K. CP probably earns around $17 to $18 per hour not really sure and is single.
2. I earn around $50k and have a 10 month old child with my new spouse who is unemployed.
3. Each child gets around $20K total of $40K for both.
4. The exact words of the trust appointment is that CP is trustee until each kid turns 18. One kid turns 18 next year and the other in 2007.

[socrateaser]

>1. CP's cash inheritance is around $80 to 90K. CP probably
>earns around $17 to $18 per hour not really sure and is
>single.
>2. I earn around $50k and have a 10 month old child with my
>new spouse who is unemployed.
>3. Each child gets around $20K total of $40K for both.
>4. The exact words of the trust appointment is that CP is
>trustee until each kid turns 18. One kid turns 18 next year
>and the other in 2007.

OK, there is case law in CA that permits the court to use inheretance as a rationale for modifying the parties' earning capacity, however, it is only applied when the amount of money substantially reduces a party's expenses. So, if the $80 is used to pay down the CP's mortgage, that would increase that parent's disposable income, and the court may, and I emphasize may, use that factor to change the guideline support amount.

What is more likely, and easier to convince the court about, is to argue that a reasonable investment income rate be imputed to the inheritance, so that this income is added to the parent's total and the guidelines adjusted accordingly.

But, you can try both arguments.

As for the kids, a deviation from the guidelines is permitted when a child is proven to have his/her own income. Ordinarily, I would say that $20K is not enough to interest the court, however, as the child is 17, the amount could be argued to apply to only one year, therefore it is the equivalent of full time employment at about $9.50 per hour. So, you might get some mileage out of this argument -- however, there's no supporting case law that I know of, so it would be an uphill battle.

As for the 18 year old, well, the question is when does the child graduate HS, because after that, the support obligation is terminated as a matter of law, so you won't be able to make any argument after that point. If it's more than six months from now, then you could try the same argument as I just outlined for the 17 year old. Otherwise, I'd forget about the 18 year old.