How is Child Support Calculated in Harrisburg, Pennsylvania?
Pennsylvania courts believe that both parents should contribute to a child’s financial well-being. To fairly share fiscal responsibility, support payments are primarily based on both parents’ combined net income, the number of children needing support, and the amount of time the child spends with each parent. Although a complex formula is used to determine support payments, a Harrisburg child support attorney may be able to negotiate a lower payment on your behalf.
Calculating Net Income for Support Payments
Net income is calculated by taking an individual’s gross income per pay period minus any tax withholdings, retirement contributions, and other qualifying deductions. Wages, salaries, pensions, Social Security disability benefits, Social Security retirement benefits, workers’ compensation, and alimony are all examples of gross income that will be considered in calculating child support payments.
However, it is at a judge’s discretion whether or not to include alimony in calculating an individual’s gross income. In making this decision, the court may consider whether the receiving party claims it on his or her federal tax return. In Pennsylvania, if your divorce decree was executed after December 31, 2018, alimony will be neither tax-deductible for the paying spouse nor taxable income for the receiving spouse.
Additionally, a judge may consider the reason for the alimony order. If the receiving spouse is using it to pay household expenses, then it will likely be included in the gross income calculation. A Harrisburg child support attorney will make sure that your rights are being protected while also ensuring that your child’s needs are being met.
Calculating Child Support in Harrisburg, PA
Generally, the noncustodial parent, or the parent whom the child does not reside with, is ordered to pay the custodial parent child support. In determining a support payment, the courts will consider gross income, childcare expenses, and the cost of medical insurance to come to a monthly figure.
The Commonwealth of Pennsylvania calculates child support based on the Income Shares Model. This model calculates support proportionally for each parent to recreate the same spending that would occur in an intact household. However, different support calculations apply if both parents have a combined monthly net income of less than $1,063 or more than $30,000.
231 Pa. Code Rule1910.16-3 outlines the average amounts spent on children based on combined monthly income and the number of children being supported. These expenditures are the basis for the state’s support guidelines and give you an idea of the basic child support you will be required to pay.
Child Support Scenario
Sam and Lori are divorced, with Lori retaining primary custody of the children. Both Sam and Lori work 40 hours per week, but Lori’s employer requires that she contribute 3% of each paycheck to retirement. Both Sam and Lori are paid bi-weekly.
Sam claims their three children as dependents on his tax return. Sam is the subscriber for the family’s health insurance, and Lori is on her own policy.
Sam’s gross monthly income: $6,040.63
- Taxes: $758.30
- Health insurance (family plan): $598.20
- 401(K) Contribution: $134.83
- Net income: $4,549.30
Lori’s gross monthly income: $5,899.94
- Taxes: $722.90
- Health insurance (herself): $199.40
- Mandatory contribution: $176.94
- Net income: $4,800.70
Adding both net incomes together, each parent’s combined net income is $9,350.00. Both parents’ combined support obligation would be $2,540.
Since Sam is the obligor (as the noncustodial parent), his support payment will be calculated by dividing his monthly net income by both parents’ combined monthly net income. Even though his net income is less than Lori’s, he will still be required to pay for support.
Calculating Sam’s support will be two-fold. First, take $4,684.13 and divide it by $9,350.00 to get 48.66%. 48.66% of $2,540 is $1,235.97. Therefore, Sam’s basic support payment will be $1,235.97.
Harrisburg Child Support Lawyers Offering Dependable Counsel
If you are looking for someone who will have your child’s best interests in mind, look no further than Purdy Law Office. Your children mean the world to you, and our legal team is dedicated to treating your family like our own. Our Harrisburg child support attorneys are dedicated to helping our clients find practical solutions, allowing them and their families to thrive. If you are interested in learning more, contact us online or by phone to schedule your consultation.