How do you calculate child support in Texas? If you are considering a divorce or already involved in divorce proceedings, how much will you receive or owe per month in child support? If you have minor children, it is very likely that one of you will owe child support.
Net resources are used to calculate child support. You add up all the obligors net resources for a year and then divide by twelve to determine a monthly amount.
Net Resources
What are net resources? Net resources are calculated by adding all of the following:
- 100 percent of all wage and salary income and other compensation for personal services (including commissions, overtime pay, tips, and bonuses);
- Interest, dividends, and royalty income;
- Self-employment income;
- Net rental income;
- Severance pay;
- Retirement benefits and pensions;
- Trust income, annuities, and capital gains;
- Social security benefits other than supplemental security income;
- United States Department of Veterans Affairs disability benefits other than non-service-connected disability pension benefits;
- Unemployment benefits;
- Disability and workers’ compensation benefits;
- Interest income from notes regardless of the source;
- Gifts and prizes; and
- Spousal maintenance, and alimony.
The obligor gets to subtract the following:
- Social security taxes;
- Federal income tax based on the tax rate for a single person claiming one personal exemption and the standard deduction;
- State income tax;
- Union dues;
- Expenses for the cost of health insurance, dental insurance, or cash medical support for the obligor’s child ordered by the court; and
- If the obligor does not pay social security taxes, nondiscretionary retirement plan contributions.
There is a cap on the obligor’s net resource obligation. This amount is adjusted by the number of children. Go over this limit with your attorney.
Number of Children
The number of children determine the percentage of the obligor’s monthly net resources which are owed for child support. You calculate as follows:
1 child 20% of Obligor’s Net Resources
2 children 25% of Obligor’s Net Resources
3 children 30% of Obligor’s Net Resources
4 children 35% of Obligor’s Net Resources
5 children 40% of Obligor’s Net Resources
6+ children Not less than the amount for 5 children
If the obligor owes child support to more than one household, the monthly amount owed will be adjusted by the number of children in each household.
Conclusion
Make sure that you have an in depth conversation with your attorney to determine all the factors that go into how to calculate child support in Texas.