Income for child support
The court may consider a parent's actual gross income, or the amount that a parent has the "ability to earn."
For help on calculating income modified for business expenses, go to Administrative Rule DCF 150, Appendix B (goes to the state legislature's web site).
Gross income
Gross income is defined as all income and earnings from all sources. The income may or may not be taxable. Income can be in the form of money, property or services.
Gross income includes:
- wages, salaries, earnings, tips, interest, capital gains, commissions and bonuses
- worker’s compensation or other personal injury awards intended to replace income
- unemployment insurance
- income continuation benefits and Social Security Disability Income (SSDI) payments
- voluntary contributions to retirement and cafeteria plans § undistributed income of a corporation
- military allowances and veterans benefits
Gross income does not include:
- child support
- public assistance payments such as Supplemental Security Income (SSI) and W-2 cash payments or food stamps
Ability to earn
The court can consider a parent’s ability to earn based on:
- past earnings
- current physical and mental health
- history of child care responsibilities and periods of physical placement
Example: A parent is the primary caretaker of the child and has remained at home with the child rather than working outside the home - education, training, and current work experience
- local job openings
Your ability to earn might change if your employer closes. However, if you decide to reduce your hours to part-time, your ability to earn has not changed.
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