Most people make child maintenance payments from post-tax money. This article explains how a Child Maintenance Trust can help your readers in this position fulfil child support obligations and allow children to pay less – or zero – tax.
When relationships break down, child maintenance payments are often made from post-tax money. If this is a position you are facing, perhaps you might be interested in learning about a Child Maintenance Trust.
According to the National Centre for Social and Economic Modelling (NATSEM), the cost of raising two children is estimated at $........,000. For those in the 45% tax bracket, every $...,000 in child support costs nearly $...,000.Just as alarmingly, children receiving payments of ‘unearned’ income, such as support payments can attract tax rates as high as 66%.
To download and use this content, make sure you're logged in then hit the Download button and choose 'Save as' to keep the document.