What likely court ruling has been regarding child support

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Reference no: EM132769332

Sonia and Sam are married and live in Ontario. They have both had unsuccessful marriages in the past. They are both 47 years old. Sonia has two daughters from her first marriage. Krystal is 7 and Kristie is 9 years old. She has joint custody of the kids with her ex-husband, Steve. Sonia makes $180,000 a year and owns a large investment portfolio and wishes to give Sam, who is making only $35,000 per year, an income for life in the event of her premature death. She also wants her children to be very well provided for. She does not want her children to have to wait until Sam's death to receive their inheritance and would like to give them a portion of their inheritance immediately if she dies prematurely. She also wants all her investments to go to Krystal and Kristie eventually after Sam dies. These terms are also reflected in Sonia and Sam's marriage contract. Sonia set up her will when she was married to Steve. Sam has a son, Spencer 9, from his previous marriage. His ex-wife, Susan, has the sole custody of Spencer. Susan is an executive at a software company and is making $180,000 a year.

Sonia and Sam are not planning to have any more children. Sonia's major assets are as follows:

A $550,000 mortgage-free home owned jointly (joint ownership with the right of survivorship) with Sam.
RRSPs totaling $220,000 (Sam is named as the beneficiary).
A portfolio of stocks with a total value of $600,000 and an ACB of $350,000.
GICs, bonds, and cash, totaling $800,000

Problem 1: Discuss what the likely court ruling has been regarding child support and spousal support in case of Sam and Susan's divorce. Who is paying who? How is the amount determined? Who pays the taxes on the amounts paid and received?

Problem 2: Who is paying child support for Krystal and Kristie?

Reference no: EM132769332

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