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How New Jersey child support law impacts Powerball winner

Powerball winner owes $29,000 in child support payments.
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    April 26, 2013 /24-7PressRelease/ -- How New Jersey child support law impacts Powerball winner

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A recent Powerball jackpot winner is gaining the attention of the media, and not just for his lottery luck. Instead, Pedro Quezada finds himself in the spotlight because he owes thousands in child support.

When a lottery winner is named, lottery officials in New Jersey review the background of anyone who wins more than $600 in the state. The winner's history is reviewed for outstanding taxes and other debts. If certain outstanding debts are discovered, the officials tend to pay them off prior to paying out the winnings. One qualifying debt is outstanding child support payments.

As a result, Mr. Quezada's payday may be a bit smaller than he expected.

Background on Powerball winner

Mr. Quezada is father of five children, ages 5 to 23 and owner of a bodega in Passaic, New Jersey. The Apple Deli & Grocery recently posted a for sale sign, likely in response to the owner's winnings.

The winnings were impressive, potentially one of the top payouts in lottery history. Mr. Quezada won the $338 million jackpot. He chose to take a lump sum payout instead of monthly payout, resulting in almost $152 million after taxes.

Child support laws in New Jersey

In addition to removing tax payment before payout, Mr. Quezada's check may also be reduced due to the above mentioned outstanding child support payments. A warrant is currently out for the $29,000 he owes and must be resolved.

A warrant can be issued in New Jersey when child support payments go unpaid. This warrant can ultimately lead to payment or arrest. In this situation, Mr. Quezada has hired an attorney to sort through the allegations.

Child support determinations in New Jersey are designed to be both fair and adequate. The need for these payments is based on the premise that:
-Children are the continuous duty of parents, regardless of whether the parents are married
-Children are entitled to a portion of the income of both parents
-Children should not be "economic victims of divorce or out-of wedlock birth"

The payment amount is based on a child support determination made by the court. In order to come up with an exact amount that the parent will owe, the court applies a complex formula. Child support guidelines used in making this determination are designed to award the child's share of expenses for various items including housing, transportation, food clothing, entertainment and healthcare costs.

Expenses may also be adjusted for adding child care costs, education, and additional costs needed for the treatment of special needs children. They are also adjusted to reflect shared custody situations.

Initial child support determinations can be adjusted. Factors that can lead to an adjustment include additional children, qualification for government benefits and a change in income.

Preparing for a child support determination can be difficult. It is important to include information on the various factors that can be taken into account, such as daycare and education expenses. As a result, those preparing for a child support determination should contact an experienced child support attorney to discuss their situation and better ensure their needs are met.

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