Child Support and Rotational Work: Income Guidelines for Edmonton and Area Oilfield Workers
By Benjamin Szalay-Anderson, Family Lawyer, Edmonton and Calgary
Understanding Child Support for Alberta Oilfield and Shift Workers
In this blog, we look at how child support is calculated for parents working in the oil field or in other jobs with rotation schedules, shift work, or seasonal income — a reality for many families in Edmonton and surrounding communities. To help us work through this situation, we’ll explore a hypothetical example of a recently separated member of the oil and gas workforce.
Example: Rotational Work and Shared Parenting
John and Sam recently separated. They have one child together, Lily, who is 5 years-old and has just started attending school full-time. John works in the oil and gas sector and has a 7 on – 7 off rotation on site up north, but he often takes overtime in the fall and winter when the jobsite is busier. John often flies out on a Sunday and returns the following Sunday. Now that they’ve separated, John and Sam need to coordinate their schedules to make sure they can adequately care for Lily. John has questions about child support and how it impacts his ability to work overtime.
How is Child Support Determined in Canada?
Child support in Canada is determined federally and set out in the Federal Child Support Guidelines.
These guidelines provide the law on:
- Who is eligible for child support and for how long
- How the parenting schedule affects child support formulas
- What amount of child support is payable
Child support is payable based on which province the payor resides in and how much income they earn annually.
Child support is the right of the child and is paid to cover the child’s daily expenses (section 3 child support) and extraordinary expenses (section 7 child support)
How does the parenting schedule affect child support?
Child support is affected by the parenting schedule in one significant way: Different formulas for child support are used when there is a shared parenting schedule versus a primary (or sole) parenting schedule. Shared parenting is defined by the Guidelines as when both parents share between a 40-60% parenting time schedule. This schedule is determined based on a yearly determination, and is not considered month-by-month, despite child support being payable monthly. Practically speaking, this means that each parent must have at least 12 days per month with the child on average to stay within the “shared parenting” definition.
Example: How John’s Schedule Impacts Parenting Time
John generally works one week on and one week off at the field. If he agrees to parent Lily every day that he’s off work, he’ll have 50% of the parenting time over the year (182 days). However, John also knows that he can make extra money over the winter months working overtime, and he could really use that extra income to put a larger down payment on his future home. John plans on taking one week of paid vacation in the summertime to go camping with Lily, so he has seven extra days with her (189 days of parenting). To stay within the 40% range, John must parent for at least 146 days over the year. This means that John has the option to take on 43 extra days of overtime work or time off that isn’t devoted to parenting, depending on his schedule and the schedule of his co-parent, Sam.
Child Support in Shared Parenting Scenarios
In a shared parenting schedule, child support is based on the income of both parties, as both parties pay each other child support under section 9 of the Guidelines. Both parties pay each other the full amount of child support owing to ensure that the child’s daily needs are met. Extra-ordinary expenses are paid proportionately to income. Unlike primary parenting child support, shared parenting child support is determined more contextually, factoring in expenses that come with the shared arrangement, such as travel.
Child Support in Primary Parenting Schedules
In a primary parenting schedule, defined as where one parent has custody more than 60% of the year, child support for the child’s daily needs is paid for by that parent alone. This is because the primary parent now hosts a significant amount of the child’s expenses, including meals, lodging, travel, school supplies, clothes, haircuts, and many other various expenses. Extra-ordinary expenses remain proportionately divided between the parties based on income.
How much Child Support is John paying?
The amount of child support John pays depends on two main factors:
- His parenting schedule, and
- Both parents’ incomes (if they share parenting time).
Because of his rotational work schedule, John is unlikely to qualify as the primary parent unless he significantly changes his work routine. As long as he has less than 60% of the parenting time, John will be considered the payor, and his income will primarily determine the support amount.
If John’s parenting time increases to more than 40%, it becomes a shared parenting situation. In that case, both parents’ incomes are compared, and each pays support to the other - with the higher earner (John) paying the difference. If Sam earns very little or is unemployed, this adjustment will be minor, and John will still pay most of the support.
Example: Comparing Overtime and Child Support
It may be worthwhile for John to consider taking on extra overtime shifts to earn extra money, even if it bumps him below the 40% threshold.
If Sam works full-time at minimum wage in Alberta, she would owe John about $265.24 per month in child support - roughly $3,182.88 per year.
John earns about $3,500 per week, so a single week of overtime would more than cover that amount. Even with the increased earnings, John’s own child support obligation would only rise by around $378 per year, meaning that taking overtime is still financially worthwhile.
What Is Considered Income for Child Support Purposes?
Income for child support purposes is largely determined by the individual’s tax return, specifically line 15000. This includes:
- Employment and self-employment income
- Foreign income
- Social assistance
- Any other form of income except for received child support
If John is an employee, any benefit from work that has monetary value may count as income.
Some examples would include:
- Travel Expenses: This can include transportation, meals, and lodging for workers who travel for work or are required to work away from their usual workplace.
- Meal Allowances: Workers may receive allowances for meals when working away from home, often with specific daily limits.
- Living-Out Allowances: Workers who live away from home due to work may receive a living-out allowance (LOA) to cover accommodation, meals, and incidentals.
- Reimbursement for Tools and Equipment: Employers may reimburse workers for the cost of using their tools and equipment that are needed for the job.
- Mileage Reimbursement: Workers who use their personal vehicles for work purposes may receive mileage reimbursement.
- Other Expenses: Employers may also reimburse other work-related expenses, such as union dues or safety training costs.
These benefits may all be included as income for the receiving employee. While they may later be deductible for tax purposes, the Federal Child Support Guidelines notes in 19(2) that whether something is deductible for child support purposes is not determined by the Income Tax Act and will be assessed on a case-by-case basis.
Child Support and Rotational Work: Key Takeaways
Child support can be especially complex for parents working in the oil field or in other rotational, shift-based, or seasonal jobs.
The parenting schedule and the definition of income under the Federal Child Support Guidelines both play a major role in determining how much is payable.
For parents like John, decisions about overtime, shared parenting arrangements, and employment benefits can all impact child support. If you are navigating child support in a rotational work situation, it’s important to understand how these rules apply to your circumstances and to seek legal advice tailored to your specific situation.
Talk to an Edmonton Family Lawyer About Child Support and Rotational Work
If you are navigating child support in a rotational work situation, it’s important to understand how these rules apply to your circumstances and to seek legal advice tailored to your specific situation.
Need guidance? Our experienced family law team in Edmonton and Calgary can help you understand your options and build a plan that works for your family.
Contact us today to schedule your free 20-minute consultation.
