Divorce at Altitude: A Podcast on Colorado Family Law

How Child Support is Calculated in Colorado Divorce

In this episode of Divorce at Altitude, Ryan Kalamaya walks through the detailed process of child support calculation in Colorado divorce cases, using a hypothetical example with Eric and Melanie Wolfe. Ryan breaks down the various factors that impact child support, with a focus on the Child Support Worksheet that is used in Colorado courts to determine the amount of child support owed.

Ryan begins by explaining the key inputs that drive child support determinations: income and parenting time. With an example of Eric earning $120,000 per year and Melanie earning $70,000, he demonstrates how these numbers are plugged into the Child Support Worksheet to calculate support obligations. The worksheet factors in various elements such as spousal maintenance (alimony) and health insurance payments for the children, as well as the number of overnights each parent has with the children.

In this episode, Ryan provides concrete examples showing how even small changes in parenting time (such as increasing the number of overnights for one parent) can significantly affect the amount of child support. He also highlights how removing spousal maintenance from the equation can increase the child support amount owed. Through these examples, Ryan illustrates how each input in the worksheet plays a critical role in the final child support calculation.

Episode Highlights

Key Inputs to Child Support Calculation
Ryan explains that income and parenting time are the primary drivers of child support in Colorado divorce cases, and discusses how these elements impact the final support amount.

The Role of the Child Support Worksheet
Ryan dives into the Child Support Worksheet, which is used by Colorado courts to calculate child support. He provides a step-by-step breakdown of how the worksheet is completed, factoring in elements like spousal maintenance and health insurance payments.

Impact of Parenting Time on Child Support
The episode shows how changing the number of overnights for each parent can affect the child support calculation, with examples showing how increasing or decreasing parenting time alters the final amount owed.

Spousal Maintenance and Child Support
Ryan discusses the interaction between spousal maintenance and child support, showing how changes in maintenance payments can either increase or decrease the amount of child support owed.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Business Valuations in Divorce: Understanding Discounts and Methods

In this episode of Divorce at Altitude, Ryan Kalamaya is joined by business valuation expert Ron Seigneur, who dives deep into the world of business valuations during a divorce. Using the example of Eric and Melanie Wolfe, Ron explores the different valuation methods that can be applied when valuing a closely held business in a divorce, including the key distinctions between fair market value and investment value.

Ron explains the complexities surrounding business valuation, including how the date of valuation and the premise of value can influence the final result. In Colorado divorce cases, the two main valuation standards are fair market value and investment value. 

Guest Information

Ron Seigneur is the founding partner of Seigneur Gustafson, a firm specializing in business and intellectual property valuations, financial forensics, and exit planning services. With over 30 years of experience, Ron has become a trusted expert in business valuations, particularly in complex divorce cases. He also co-authored the upcoming Financial Expert Guide for Family Law Professionals and serves as an adjunct professor at the University of Denver’s Daniels College of Business. Ron is an expert in cannabis industry valuations and works across various sectors, providing valuable insights to family law attorneys and judges.

Episode Highlights

Understanding Business Valuations in Divorce
Ron explains the different standards of value used in divorce, specifically fair market value and investment value, and how these impact the final valuation of a business.

The Impact of Discounts on Business Valuations
Ryan and Ron discuss discounts for lack of control and lack of marketability, which can significantly affect the valuation of a minority interest in a closely held business.

The Thornhill Case and Its Impact on Business Valuation
Ron outlines the Thornhill case, which changed how courts approach business valuations in divorce cases, particularly with respect to fair market value and investment value.

Investment Value vs. Fair Market Value
Ron breaks down the differences between investment value (value to the owner) and fair market value (value to a hypothetical buyer), and how this plays out in divorce cases where a closely held business is involved.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

When Does Child Support Begin and Temporary Child Support in Colorado Divorce

In this how-to episode of Divorce at Altitude, Ryan Kalamaya explains when child support begins in Colorado divorce cases and the intricacies of temporary child support. Using the example of Eric and Melanie Wolfe, who are filing for divorce but still living together, Ryan breaks down the key legal points regarding child support obligations and when they start to accrue.

Ryan walks through the legal framework provided in Colorado Revised Statutes § 14-10-115, which states that child support obligations begin on the later of two events: either the filing of the divorce petition or physical separation of the parties. In the scenario of Eric and Melanie, if they are still living together, neither would owe child support until they physically separate. However, once they separate or file for divorce, child support will begin to accrue, and the court may take any temporary payments or arrangements (like Eric paying the mortgage or giving Melanie money for groceries) into account when determining back support. The episode also explains the concept of temporary child support, which is determined during the divorce process and can be subject to change as circumstances evolve.

Episode Highlights

When Does Child Support Start?
Ryan explains how child support obligations in Colorado begin either upon the filing of a divorce petition or physical separation of the parties, and why these two key events determine when support starts to accrue.

Temporary Child Support
The episode dives into the concept of temporary child support, which is determined during the divorce process before a final court order is issued. Ryan explains how temporary arrangements can be adjusted based on changing circumstances.

Back Support and Temporary Payments
Ryan clarifies how temporary support arrangements or voluntary payments, such as paying the mortgage or groceries, may be considered by the court when determining back support.

Changes in Parenting Time and Income
As the divorce progresses, the parenting schedule and financial situations can change, which may affect the amount of temporary child support. Ryan explains how these changes can impact the final determination of support.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Alternative Dispute Resolution in Colorado Family Law

In this episode of Divorce at Altitude, Ryan Kalamaya and Amy Goscha delve into the world of alternative dispute resolution (ADR) in Colorado, focusing on how professionals are trained and the innovative changes emerging in the family law landscape. With divorce and custody disputes, many people are seeking ways to resolve their issues without going to court, and ADR offers an effective pathway. The episode explores various ADR methods, including mediation, arbitration, and the roles of professionals such as special masters, parenting coordinators, and private judges.

Amy and Ryan highlight a trend where the Colorado Supreme Court has increasingly recognized the need for tailored solutions in family disputes, noting how the dynamics of family law differ from civil or criminal cases. This recognition has led to a greater focus on mediation and other ADR methods to resolve disputes faster and more amicably, particularly as 75% of people involved in family law cases in Colorado are still unrepresented by attorneys. The episode also discusses recent changes in the legal system designed to improve the process, such as new regulations for judges, parental responsibility evaluators, and domestic violence education.

Episode Highlights

What is Alternative Dispute Resolution (ADR)?
Ryan and Amy discuss the various forms of ADR, with a focus on mediation as the most common method, and explore other options like arbitration, parenting coordinators, and private judges.

Recent Trends in ADR for Family Law
The episode explores the growing emphasis on ADR in Colorado family law, driven by the recognition that family disputes are unique and require different approaches than traditional litigation.

The Role of Professionals in ADR
Amy explains the roles of special masters and arbitrators, who can help resolve issues like discovery disputes and premarital agreements before mediation begins.

Changes in the Legal System
The episode covers recent legislative changes aimed at improving the training for judges and experts in family law, particularly in domestic violence and child abuse cases. These changes are designed to make the process more accessible and effective for families.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

When Does Child Support Begin and Temporary Child Support in Colorado Divorce

In this episode of Divorce at Altitude, Ryan Kalamaya dives into the essential topic of child support in Colorado divorce cases, providing a clear understanding of when the child support obligation begins and the intricacies of temporary child support. Ryan breaks down the legal framework, specifically focusing on when child support starts based on either the filing of a divorce petition or the physical separation of the parties. He uses the example of Eric and Melanie Wolfe, who are in the midst of a divorce but still living together, to illustrate how child support works when couples haven’t yet separated their finances or homes.

Ryan also discusses the concept of temporary child support, which comes into play during the divorce process before a final support order is made by the court. This temporary support is determined by temporary orders or agreements between the parties and can differ from the final child support calculation, taking into account factors such as income disparity and the amount of time each parent spends with the children.

Episode Highlights

When Does Child Support Start?
Ryan explains that child support in Colorado starts either when the petition for divorce or legal separation is filed or when the parties physically separate. In the case of Eric and Melanie Wolfe, no child support will be owed until they physically separate.

Temporary Child Support
Ryan discusses temporary child support, which is support provided during the divorce proceedings before a final court order is made. This can be determined by temporary orders or a temporary agreement and may differ from the final support calculation.

Factors Affecting Child Support
Ryan covers the key factors in child support determinations, including income disparity, the amount of time each parent spends with the children, and any maintenance (alimony) obligations. These factors can all affect the amount of temporary child support.

Changes in the Divorce Process
As the divorce progresses, the parenting schedule and the financial situation may change, which can impact the amount of temporary child support. Ryan explains how this is taken into account in the divorce proceedings.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Grandparent Rights in Colorado Family Law

In this episode of Divorce at Altitude, Ryan Kalamaya is joined by Joel Pratt, a Colorado Springs-based family law attorney, to discuss the complexities of grandparent rights in Colorado family law. As more families face challenges during divorces or custody disputes, grandparents often seek to maintain or increase their involvement in their grandchildren's lives. This episode explores the legal landscape of grandparent visitation and parental responsibilities, touching on issues like standing, constitutional rights, and jurisdictional complexities.

Joel explains the legal doctrine of standing, which determines who has the legal right to intervene in family law cases. In grandparent cases, standing is crucial because parents hold constitutional rights to make decisions about their children's upbringing. Joel walks through examples of when a grandparent can intervene, including situations where a grandparent has played a significant caretaking role or when the parents are unfit due to drug abuse, domestic violence, or other concerns.

Guest Information

Joel Pratt is a partner at Daly and Pratt Law in Colorado Springs, specializing in family law and appellate cases. With extensive experience in complex legal issues, including constitutional law and grandparent rights, Joel has represented numerous grandparents in family and juvenile court, focusing on helping them secure their rightful place in the lives of their grandchildren.

Episode Highlights

Standing in Grandparent Cases
Joel explains how a grandparent must demonstrate a significant relationship with their grandchildren to intervene in custody matters.

Constitutional Presumptions
The episode covers how parents' constitutional rights are central to family law cases, making it difficult for grandparents to challenge parental decisions like healthcare or vaccination.

Practical Applications of Grandparent Rights
Joel discusses how grandparent rights come into play in various real-world situations, such as dependency and neglect cases or when parents are unfit to care for their children.

Jurisdictional Challenges
Ryan and Joel examine the complexities of interstate jurisdiction and how courts handle cases involving children living in different states.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Child Support in Colorado Divorce

In this episode of Divorce at Altitude, Ryan Kalamaya provides an overview of child support in Colorado divorce cases, explaining its purpose, how it's calculated, and the key factors that influence child support determinations. Using the example of Eric and Melanie Wolf, two hypothetical divorce clients, Ryan breaks down the essential elements of child support, focusing on how income and parenting time (overnights) directly affect the support amount.

Child support ensures children's needs are met after parents separate or divorce, covering basic expenses like food, housing, clothing, and educational costs. Ryan explains how Colorado has specific guidelines that courts must follow when determining the child support amount, emphasizing that the primary drivers are both income and parenting time. For example, if Melanie spends more time with the children than Eric, this will result in a different child support arrangement than if they share equal parenting time.

Episode Highlights

What is Child Support?
Ryan explains the purpose of child support, which ensures that children's basic needs are met after divorce and outlines the two primary factors: income and parenting time.

How is Child Support Calculated?
Learn how Colorado uses a formula to determine child support, factoring in both parents' incomes and the amount of time the children spend with each parent.

Factors That Affect Child Support
Ryan discusses how various factors, such as extracurricular expenses, medical needs, and childcare costs, can impact the child support calculation.

Common Child Support Issues
The episode delves into more complex issues, like voluntary unemployment and variable income, that can influence child support determinations.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Personal Injury and Workers Compensation in a Colorado Divorce

In this episode of Divorce at Altitude, Ryan Kalamaya and guest Philip Goldberg, a seasoned divorce attorney in Denver, delve into the complex issues of personal injury and workers' compensation claims in Colorado divorces. These claims can have significant implications for the financial division of assets, especially when large settlements or awards are involved.

Ryan and Philip discuss how personal injury awards—whether from car accidents, workplace injuries, or other accidents—are treated in divorce cases, particularly under Colorado law. The episode explores Colorado’s unique stance on personal injury awards, explaining how the classification of these funds is influenced by when the injury occurred during the marriage.

Guest Information

Philip Goldberg is a divorce attorney based in Denver with a wealth of experience in handling complex family law matters. An AV-rated trial lawyer, he has tried multiple cases before the Colorado Supreme Court and the Court of Appeals, and he is licensed to practice in both Colorado and Georgia. Philip's practice includes probate and estate litigation, real estate, and appellate work, and he has been recognized in the Best Lawyers in America.

Episode Highlights

Personal Injury Awards and Divorce
Ryan and Philip explain how Colorado classifies personal injury awards as marital or separate property depending on the timing of the injury and the nature of the compensation.

How Workers' Compensation is Treated in Divorce
The discussion explores the analytic approach in Colorado for dividing workers' compensation benefits, particularly when lump sum settlements or ongoing payments are involved.

The Mechanistic Approach to Personal Injury Awards
Philip explains why Colorado takes a mechanistic approach to classifying personal injury awards, where all funds received from injuries during the marriage are considered marital property.

Disproportionate Allocations of Injury Proceeds
Ryan and Philip discuss how courts have the discretion to allocate personal injury and workers' compensation funds unequally based on the circumstances of the divorce.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Child Support in a Colorado Divorce

In this episode of Divorce at Altitude, Ryan Kalamaya and Amy Goscha break down how child support works in Colorado divorce and custody cases. They explain that child support is designed to help cover the real costs of raising children, from housing, utilities, and groceries to transportation, medical care, and activities.

Ryan and Amy walk through the core factors used in the Colorado child support worksheet, including each parent’s gross income, the number of overnights, the children’s health insurance costs, and certain credits such as support for a non-joint child. They also explain how spousal maintenance affects child support, why equal parenting time does not always mean zero support, and how child care, extraordinary medical expenses, and extracurricular costs may be handled either on or off the worksheet.

The episode also highlights why income disputes are one of the biggest issues in child support cases. For self-employed parents, income is not always as simple as a W-2. Courts may need to evaluate business expenses, overtime, trust income, gifts, and potential income when a parent is unemployed or underemployed.

Key Takeaways

What child support is for
Child support helps cover the everyday and long-term costs of raising children in two households.

Main worksheet factors
Colorado child support is based on gross income, parenting time overnights, health insurance, and certain credits or adjustments.

Maintenance affects child support
If one parent pays spousal maintenance, that amount is deducted from the payor’s income and added to the recipient’s income for child support purposes.

Income disputes are common
Self-employment, overtime, trust income, gifts, and imputed income can all create disputes over the correct support amount.

High-income cases are different
When income exceeds the worksheet cap, courts may consider the children’s lifestyle and other factors beyond the formula.

Child support can be modified
A 10% change in the support obligation may justify modification, but usually only from the date a motion is filed.

Enforcement matters
Colorado parents can enforce child support through contempt, wage assignments, judgments, and child support enforcement services.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.

Variable Income and Spousal Support in a Colorado Divorce

In this how-to episode of Divorce at Altitude, Ryan Kalamaya explains how Colorado courts and divorce lawyers approach variable income when determining spousal support, also called maintenance or alimony. This issue often comes up when one spouse does not earn a predictable salary each month or each year.

Ryan uses the podcast’s hypothetical divorce clients, Eric and Melanie Wolfe, to walk through the problem. Imagine Eric owns a real estate business or works in a commission-based industry. Some months he may earn nothing, while in another month he could earn a very large commission. On top of that, his yearly income may swing dramatically as well—earning $250,000 one year and $1 million the next. When maintenance depends in part on income, that kind of inconsistency creates real challenges.

Key Takeaways

What is variable income?
Income that changes significantly month to month or year to year, such as commissions, business profits, or real estate earnings.

Why does it matter?
Because spousal support is based in part on income, and unstable earnings make support harder to calculate fairly.

Common solution: averaging income
Lawyers and courts may use a three-year or five-year average to smooth out irregular earnings.

Weighted averages may apply
If income has been rising or falling, a weighted average may place more value on recent years.

Another option: percentage of future bonuses or commissions
Parties can agree to a base level of support plus a share of future variable income.

Taxes still matter
If a spouse receives a large commission, not all of it is truly available cash because tax obligations must be considered.

No universal formula fits every case
Colorado courts look at the facts, the type of income, and the overall fairness of the result.

What is Divorce at Altitude? 

Ryan Kalamaya and Amy Goscha provide tips and recommendations on issues related to divorce, separation, and co-parenting in Colorado. Ryan and Amy are the founding partners of an innovative and ambitious law firm, Kalamaya | Goscha, that pushes the boundaries to discover new frontiers in family law, personal injuries, and criminal defense in Colorado. 

To subscribe to Divorce at Altitude, click here and select your favorite podcast player. To subscribe to Kalamaya | Goscha's YouTube channel where many of the episodes will be posted as videos, click here.  If you have additional questions or would like to speak to one of our attorneys, give us a call at 970-429-5784 or email us at [email protected].

************************************************************************

DISCLAIMER: THE COMMENTARY AND OPINIONS ON THIS PODCAST IS FOR ENTERTAINMENT AND INFORMATIONAL PURPOSES AND NOT FOR THE PURPOSE OF PROVIDING LEGAL ADVICE. CONTACT AN ATTORNEY IN YOUR STATE OR AREA TO OBTAIN LEGAL ADVICE ON ANY OF THESE ISSUES.