The Gig Worker's Income Drop
Andre is self-employed, driving for rideshare and delivery platforms. His current child support order is $1,450 per month for two children, based on imputed income of $6,500 per month. He has $11,200 in arrears. Andre filed a modification motion claiming his income has dropped to $2,100 per month. His bank statements show gross platform deposits of $9,800 last month and transfers to a separate account. He claims $6,200 in expenses, including $1,100 for a personal vehicle payment, $900 for fuel, $700 for insurance, and $3,500 in 'business expenses' with no receipts. The mother, Bianca, has the children 50 percent of the time and earns $4,200 per month. Andre missed two payments after his car was repaired. He wants the arrears erased because he is 'broke.' The attorney asks the paralegal to organize financial discovery and identify guideline issues.
1. What must Andre show to modify child support, and how should the paralegal analyze his claimed income?
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Andre must show a substantial change in circumstances since the last order, not merely that he is broke. A voluntary income drop can lead to imputation; self-employment income is generally gross receipts minus ordinary and necessary business expenses, not personal expenses. The paralegal should separate the $1,100 car payment, $900 fuel, and $700 insurance: fuel and insurance may be partly ordinary, but a personal vehicle payment is often not fully deductible and may be a personal expense. The $3,500 in 'business expenses' with no receipts needs documentation.
Gross deposits of $9,800 and transfers to another account suggest income or concealment. The paralegal should prepare a spreadsheet, request platform statements, bank records, tax returns, and receipts, and calculate several scenarios for the attorney. The paralegal cannot decide the guideline amount or give legal advice, but can organize the numbers and flag inconsistencies.
2. Bianca wants Andre held in contempt and the arrears paid. What enforcement options and pitfalls should the paralegal flag?
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The paralegal should flag that failure to pay a support order can support contempt, wage withholding, lien, license suspension, and other remedies, but contempt generally requires willfulness and notice. Andre missed two payments after a car repair; that fact may support or rebut willfulness. The $11,200 arrears cannot simply be erased by a modification motion; arrears are usually vested, and retroactive modification may be barred.
The paralegal should prepare a payment history, calculate arrears, identify the last payment, and draft a notice of hearing for attorney review. The paralegal should not tell Bianca that Andre will be jailed or that the arrears will be forgiven. The attorney should evaluate whether to seek contempt, an income withholding order, or a payment plan, and whether the modification should be heard first.
3. What discovery should the paralegal prepare, and what should she avoid?
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Prepare requests for production to Andre for platform 1099s, monthly earnings summaries, bank statements for all accounts, tax returns, vehicle loan and insurance records, receipts, and the separate account transfer records. Prepare interrogatories about the separate account, cash payments, and business expenses. Prepare a subpoena to the platform and bank if needed.
Avoid signing discovery, giving legal advice, deciding whether expenses are 'necessary,' or discussing the case with Andre directly if he is represented. The paralegal should create a privilege log for any attorney-client materials and a chronology. She should also calculate the guideline range under the state formula only as a draft for attorney review, using verified income and the 50/50 parenting time. The attorney must confirm the final numbers and legal strategy.