Child Support – a comparison of the old vs. the new
Background
Before July 1, 2017, there was a common complaint that the existing statutory child support guidelines were random and unfair. This was because a non-custodial parent’s child support obligation was calculated almost entirely from a percentage of that parent’s net income. The percentage of net income paid for support increased depending on the number of children the parties shared.
The pre-July, 2017 formula used a parent’s gross income (income before deduction of taxes) and subtracted the deductions allowed by statute. Those deductions which were allowed did not always include every deduction that appeared on a pay stub. Once the appropriate net income was determined, it was multiplied by the corresponding percentage for the number of children. 1 child was 20% of net income, 2 children were 28% of net income, 3 children were 32% of net income and so on. Unfortunately, there was no consideration given to the custodial parent’s income. Generally, there was often no consideration given for the amount of time the non-custodial parent spent with the child(ren).
A Formula for Change
Recently, the State of Illinois finally recognized the growing demand for an overhaul of the child support statutes.
Now, there are two main formulas for calculating support. One is used when the non-custodial parent exercises less than 146 overnight periods of parenting time per year. The second is used when the non-custodial parent exercises more than 146 overnight periods of parenting time per year.
With both formulas, the Courts work from tables to determine relevant information. For instance, the parties’ respective gross incomes will be entered into a spreadsheet. Then, using the table entitled “Gross to Net Income Conversion Table Using Standardized Tax Amounts”, each party’s adjusted net income is determined.
The two net incomes are then added together to determine the combined total for both parents. That combined total is then plugged into the table entitled “Income Shares Schedule Based on Net Income”. This table provides the basic child support obligation expected from both parents.
Finally, the Court will determine what percentage of the parties’ combined net incomes is attributable to each parent.
More vs. Less Parenting Time
When a non-custodial parent exercises less than 146 overnight periods of parenting time, the support obligation calculation is simplified. Here, the Court multiplies each parent’s percentage of the combined net income against the combined support obligation. That calculation establishes each parent’s respective support obligation. Finally, the non-custodial parent will be ordered to pay his or her share to the custodial parent.
On the other hand, when the parties share parenting time (i.e. there are more than 146 overnight periods of parenting time exercised), a few additional steps are applied. So, after calculating each parent’s percentage share of adjusted net income and the combined child support obligation, each parent’s shares are multiplied by 1.5. The Court then goes on to determine what percentage of the year in overnight periods of parenting time is attributable to each parent. Then, the respective support obligations, after being multiplied by 1.5, is multiplied by the percentage of time each parent spends with the child(ren) per year.
Lastly, in either situation, additional expenses can be considered, such as health insurance premiums for policies covering the child(ren), extracurricular activity expenses, educational expenses and other similar expenses. However, the inclusion of these extra expenses is decided on a case-by-case basis.
We Can Help
Overall, the consensus is that the changes to the child support statutes made great strides in minimizing the perception of unfairness that had come to be in previous years.
Regardless, these new tables and calculations and percentages are overwhelming and may seem confusing at first. Just remember, we are here to help! If you, or someone you know is faced with a child support obligation, contact us for a free consultation. We want to help ensure that support obligations are calculated accurately.
Contact Us today for a consultation.