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Family Law Software can calculate child support guideline amounts in 21 states.
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Question: How Can I Show Responsibility for the Mortgage Shifting from Wife to Husband?
Answer: Here is how to specify that the husband is taking the mortgage over from the wife after, for example, four years:
1. Set the wife as initially paying the mortgage.
2. On the "more info" screen for the mortgage, specify that the wife will make a balloon payment in the amount of the balance at the end of the four years.
3. At the top of the Real Estate Details screen, specify that there will be a second mortgage for the property.
4. Enter the second mortgage as a refinancing mortgage. Specify that it will start at the time four years from now, and that the balance will be the same as the balance of the first mortgage at the end of four years. Specify that the prior mortgage had a zero balance and that all of the proceeds will go to the wife.
In the year of the buyout, the wife's after-tax cash flow will look terrible, because the mortgage payout debits cash flow, but the refinancing proceeds do not increment cash flow (they go directly to net worth).
That one year can be ignored, however, because on the net worth projection, which is the ultimate bottom line, the two entries do cancel each other out.