How is child support calculated?
After the judge or support magistrate determines the income of both parents and makes the deductions allowable by law, (FICA, alimony, other specific expenses), the incomes are added together to get the “combined parental income”. Next, the judge or support magistrate selects a percentage based upon how many children in the household need to be supported. The combined parental income is multiplied by this percentage, and the amount is divided between the parents according to their incomes. The combined parental income level is set differently in every state, and levels are subject to change with time. This amount, plus the cost of health insurance coverage, child care, health-related expenses that are not covered by insurance, and appropriate education costs, is called the total child support obligation. It is possible for a judge to reduce or increase child support without respect for the guidelines. The judge or support magistrate may order a parent to pay a portion of money received from a non-recurring (one-time) source, such as: Life insurance policies; debt payments, debt recovery, gifts or inheritances, winnings from gambling or the lottery. An exceptional influx of income from one of these sources, or another source, may cause a judge to increase child support. Similarly, if a parent loses his or her job, or suffers serious financial loss, a judge may order that the parent’s payments of child support be reduced.
