Updates to the North Carolina Child Support Guidelines

North Carolina is one of over thirty states that uses the “Income Shares” model when calculating child support. This means the Court views child support as a shared responsibility of both parents. The Court seeks to ensure that the child receives the same proportionate share of reasonable income from each parent that the children would have theoretically had access to if the parents were in the same household. To ascertain the appropriate amount of child support for a case, the court uses a “calculator” to determine the appropriate amount of child support based on the gross income of the parties involved and what the state’s legislature deems as “reasonable” funds that should be directed toward the financial needs of the children. Every four years, the state is tasked with reviewing the then-existing child support guidelines (and the schedules) and adjusting them as needed. This past year, the state did just that with some notable adjustments. As of January 1, 2023, updated child support guidelines have been enacted and are applied to all child support cases heard on or after January 1, 2023. Some notable changes include:

1 – The self-support reserve for a respective parent with a financial obligation toward their child, has increased in conjunction with the 2022 Federal poverty level. The self-support reserve is the amount the Court system has determined as the minimum amount necessary for a person to meet their basic financial needs, and therefore is left untouched when making a determination on a potential child support obligation.

2 – Cases where parties make a combined income of more than $40,000/month ($480,000 per year) are considered to be “high combined income” cases. As such, the Child Support guidelines no longer have a schedule that provides for a “fair and reasonable amount” for child support, and are considered “off-guideline” cases. In these high combined income child support cases, the amount will be determined not by the child support guidelines calculator but by looking at the actual expenses and financial needs of the child or children. This amount has gone up from $30,000/month ($360,000 per year) under the previous 2019 guidelines.

3 – Minimum wage can now be imputed to a party who is caring for a child under the age of three years old if bad faith can be shown. Under previous guidelines, you were not allowed to impute (assign) minimum wage income to a party who had a child under three years old they were caring for.

Calculating child support in North Carolina, while it is very often the most formulaic process in our Family Court system, it is not without nuances that make the assistance of a knowledgeable and experienced family law attorney vital to the accurate assessment of child support in your family’s specific situation. 

If you are someone you know has a child support legal matter, our team at Modern Legal is here to help. 

Please note: these educational materials are based on North Carolina law where my legal practice is based. While the insights may have wide applicability, readers should consult with an attorney regarding the specific laws in their state or country. 

Written by: Tiffany A. Byrd

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