Recent Changes to the Calculation of Child Support

Recent legislative updates have brought significant changes to how child support is calculated in California. SB 343, enacted to modernize the guideline support calculation, marks a departure from outdated income tables that hadn't been revised since 1992. These reforms aim to reflect current economic realities faced by families and ensure fair and equitable child support assessments. For parents navigating these adjustments, consulting with a knowledgeable child support lawyer can provide crucial guidance in understanding and adapting to these new legal standards. At the Law Offices of Janice Cho, APC, we specialize in helping clients navigate the complexities of child support laws, ensuring that your children's needs are prioritized while striving for a balanced financial outcome.

Additional Income Sources & Low-Income Adjustments

Child support is calculated using the income of each parent, this is typically income earned from a job. Alongside this income from employment, additional sources of income such as severance packages, veteran’s benefits that are not based on need, and military allowances for food and housing will now be included as income sources in guideline support calculation. Another significant change is an increase in the threshold household income amount that qualifies a parent to get a low-income adjustment in child support calculation.

What Are Mandatory Add-Ons to Child Support?

In addition to guideline child support for the care and support of children, parents are required to share costs known as mandatory “add-ons” as ordered by the court. These include work-related daycare expenses, co-pays and deductibles, ongoing medical care, uninsured medical expenses (like dental, orthodontic, and vision care), prescription drug costs, mental health counseling, and other recurring monthly medical expenses for children.

More Equitable Guidelines

Before September 2024, the costs for these add-ons were typically split equally by the parents, regardless of any income disparity. This effectively made the lower-wage parent pay more of their income towards the care of children than the higher-wage parent. To rebut this inequitable standard, a parent had to request a shift in the allocation percentage proactively. However, under the new law, the calculation of such add-ons has been shifted from a default 50/50 allocation to a percentage based on the parents' relative incomes (and the timeshare percentages). This will impact the higher-earning parent in that they will likely pay a higher share of the add-on cost due to their higher earnings. While this may upset the higher-earning partner in a divorcing couple, the reasoning behind these changes is to ensure that child needs are being met and that parents can contribute to the care of their children as they are each able, applying a more equitable standard. On a side note, this change may impact the calculation of spousal support due to a parent, so spousal support must also be recalculated. 

Presumption of Reasonableness for Some Mandatory Add-Ons

Another shift in the assessment of mandatory add-ons is the presumption of reasonableness, which is now applied to childcare costs necessary so a parent can work. After September 2024, the reasonableness of such expenses is presumed valid, and the burden is now on the other parent to prove that the costs sought are unreasonable.

Are There Any Discretionary Child Support Add-Ons? 

Yes, discretionary child support add-ons often include expenses related to the educational or special needs of a child, extracurricular activities that provide enrichment, such as sports-related participation costs, summer camps, music or other enrichment lessons and/or tutoring, as well as expenses connected to traveling for custody/visitation when parent households are not within ordinary, commutable distances.  Since these costs are not mandated by law, the family court will examine whether these expenses are valid before adding them to a child support order. The court will also evaluate whether parents have the funds to maintain these additional lifestyle-related expenses.

Call Us. Let Us Run the New Numbers for You.

The recent changes to the calculation of child support and add-ons may impact what is currently ordered in your child support, and a new assessment could result in a significant adjustment in the amounts ordered, depending on the difference in your respective income levels. The Law Offices of Janice Cho, APC, is a client-oriented law firm specializing in helping individuals understand and resolve child support calculations and disputes efficiently and effectively. We are here for you, whether negotiating a settlement, modifying a current order, or conducting litigation to reach an equitable calculation.

Call (510) 925-2651 when you need the assistance of an experienced Bay Area child support lawyer.