Heather and Tony recently divorced. During their separation negotiations they incorporated a plan into their Separation / Divorce Agreement to help determine how each parent would contribute to special and extraordinary expenses for their children.
These expenses could include:
- Sporting or Club fees (hockey, dance, etc.)
- Uninsured Medical Expenses, Counseling, Prescription Drugs
- School related fees (tuition, school supplies or school trips)
- Religious Costs (ceremonies, trips or supplies)
- Clothing (special occasions, prom dress, new suit)
- Hobbies or Lessons (piano, swimming, etc.)
In their Agreement they decided their payments would be based on the yearly income of each parent and would be shared accordingly based on that percentage. Each year the percentage could change based on their previous years’ income. The parents agreed their children should contribute to some of their own costs. When the time comes for a child to ask either parent to pay for an expected or unexpected expense, prior parenting agreements take pressure away from children, reducing their anxiety.
Heather and Tony’s children have the right to reasonable financial support during their childhood and throughout their college / university years without the fear of guilt from either parent.
The successful completion of Heather and Tony’s Agreement allows their children not to be caught in the middle of their parents’ divorce.
With 4-5 out of 10 marriages ending in divorce, determining a financial plan is an issue that affects a large number of North American families. It’s important when going through the divorce process that parents work together for the emotional wellbeing of their children.
Are you struggling to budget your children’s expenses? Now’s a great time to budget for all their needs.
