Child support is calculated differently in Texas when it comes to high-earners. It is essential to have an attorney on your side so that you can make sure you pay or receive the amount of child support under Texas Law.
Child support is one of the most contentious issues when parents divorce or if they were never married and are no longer involved in a relationship. Individuals naturally have strong feelings and opinions about their finances, as well as their children. If you are the parent who is paying child support, you want to ensure that you are paying enough to provide for them and that the money goes towards their needs. However, you don’t want to overpay. If you are the parent who is receiving child support, you want to ensure you are receiving what you are legally entitled to receive for their care and well-being. Parents who are struggling on either end of this spectrum can find help by consulting with an experienced Sugar Land child support lawyer.
How is Child Support Calculated in Texas?
When determining child support, the family court will look at several different factors, including the income of each parent. The combined income is compared with child support guidelines to help determine how much child support should be ordered. In most states, if their combined income is over $150,000, there are no guidelines for the judge, and they must use their own discretion.
Typically, income is calculated by net resources or your total earnings, not including taxes for social security, income tax for a single party, and dependent health insurance. Net resources do not include:
- Temporary assistance benefits
- Foster care payments
- Return of principal or capital
- Accounts receivable for your business
Your Sugar Land child support attorney can help you determine your net resources. After determining net resources and allowing for other adjustments such as the number of children or children with disabilities, generally, the spouse paying child support will pay about 20 percent for one child, with an additional five percent for each child.
Texas High Income Child Support Cap
However, Texas goes one step further to help protect high-income earners. Lawmakers here placed a cap on how much of a parent’s resources can be considered when calculating high-income child support. If you are a high-income earner, 20 percent of your monthly income could equate to tens of thousands of dollars. Even if a judge takes into account the lifestyle that the child is accustomed to, they will be hesitant and even unlikely to award such a high amount for the financial support of a single child.
Before 2013 the cap was $7,500, then it rose to $8550. In September of 2019, it rose again to $9,200. If you are a high-income earner whose income supports an amount higher than the legal limit of child support, the judge cannot automatically require you to pay more. The parent receiving child support must show that the amount exceeding the $9,200 cap is necessary for the care and well-being of the child. Having a knowledgeable Sugar Land child support attorney on your side can help ensure that you do not pay more than you have to pay.
Sugar Land Child Support Lawyer
If you are looking for a Sugar Land child support lawyer who will stand firm in protecting your rights in paying child support, look no further than Jaime Jordan, PLLC. We are here to help in child support matters for high-income earners. Schedule your child support consultation today by calling (832) 463-4933 or reaching out to us online.