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Parent 1 and Parent 2 are divorcing and have one 10-year-old child. For the past six years, Parent 2 earned $145,000 per year as a hospital administrator. Three months before the support hearing, Parent 2 resigned and opened a small furniture-restoration business that currently nets $2,200 per month. Parent 2 says the career change reduces stress and will allow more flexibility for parenting time. Parent 1 earns $62,000 per year as a teacher, pays $480 per month for after-school care needed to work, and provides health insurance for Child at an additional cost of $210 per month.
Parent 2 also owns a duplex inherited before marriage. One unit is rented to a tenant for $1,400 per month, but Parent 2 argues that the rental income should be ignored because mortgage, taxes, insurance, and repairs average $900 per month. Child has diabetes, and unreimbursed supplies and appointments average $300 per month. Parent 2 requests that support be based only on current business income. Parent 1 asks the court to impute Parent 2's former salary, include net rental income, and divide child-care and medical costs in proportion to income.
Discuss how the court should determine Parent 2's income for support purposes, whether a deviation from the guideline amount may be appropriate, and how the court should allocate health insurance, child-care costs, and unreimbursed medical expenses.