What are child support arrears?
Child support arrears happen when someone doesn’t pay the total amount they owe. If they miss a payment or don’t pay the whole amount, unpaid child support adds up every month. This debt is called being “in arrears.”
Child support is money that a parent pays to help with the cost of raising their child. A judge decides how much child support a parent owes based on state guidelines and the parent’s situation. The parent pays this amount every month until the child turns 18.
When do arrears happen?
Arrears start adding up the first time a parent doesn’t pay their full monthly child support. Maybe they spent some of it, but not all. Or perhaps they didn’t pay anything that month. Either way, the amount they didn’t pay becomes arrears.
The arrears keep growing if they still don’t pay the total amount each month after that. It’s kind of like rolling over credit card debt. The missed payments from past months are still there, and new missed payments get stacked on top.
How do judges decide child support amounts?
Judges look at a bunch of things to figure out a fair child support amount:
- How much money each parent makes
- How much time the kid spends with each parent
- The kid’s needs, like health insurance, child care, school costs
- The parent’s ability to pay
States have guidelines for how much child support should be paid based on the parent’s income and other factors. But every case is a little different. A judge has the final say.
What happens when a parent doesn’t pay child support?
A few different things can happen when a parent falls behind on child support. The other parent can ask a judge for help collecting the money owed. The state child support enforcement office might step in. They’re in charge of making sure child support gets paid.
Collecting overdue child support
There are a bunch of ways to collect child support from a parent who’s behind:
- Withholding money from their paycheck
- Intercepting their tax refunds
- Suspending their driver’s license
- Putting a lien on their property
- Denying them a passport
- In some cases, even putting them in jail
The methods used depend on the state and the situation. Usually, it starts with paycheck withholding and can escalate if the parent still doesn’t pay.
Interest and penalties on arrears
Many states charge interest on unpaid child support, so the amount owed can grow faster. There might also be late payment fees.
So if a parent owed $5,000 in arrears and the interest rate was 5%, they’d owe an extra $250 on top of the original $5,000 after a year. The longer they go without paying, the more those interest charges would stack up.
Long-term consequences
A lot of child support debt can mess up a parent’s finances. It shows up on their credit report, making it hard to borrow money, rent an apartment, or even get a job.
Collection actions like paycheck withholding and license suspension can make it even harder for them to get on track. If their paycheck is garnished, they take home less money, and if their driver’s license is suspended, they may not be able to get to work.
It can turn into a vicious cycle. They fall behind on payments, the debt piles up, penalties kick in, and catching up becomes even more challenging.
Dealing with child support arrears
If a parent owes child support arrears, they’ve got a few options for dealing with it. What’s possible depends on the specifics of their case.
Paying off the total amount
The simplest solution is to pay off the whole debt. But that’s not doable for many parents, significantly if the arrears have increased for a while. Coming up with thousands of dollars all at once is challenging.
Setting up a payment plan
More often, parents who are behind will set up a payment plan. They agree to pay a certain amount each month to chip away at the debt on top of their monthly child support.
The payment plan has to be approved by a judge or the child support office. They want to see that it’s a reasonable amount that the parent can afford to pay. The other parent has to be on board with it, too.
Asking for a modification
If a parent’s situation has changed since the original child support order was established, they might be able to get the amount lowered. This is called a modification.
Maybe they lost their job or got a significant pay cut. Or perhaps they’ve got new expenses, like high medical bills. If they can show the judge that they can’t afford the current payment, the judge might agree to reduce it.
Lowering the monthly amount doesn’t eliminate the arrears they already owe, but it can stop the debt from growing so fast going forward.
Negotiating a settlement
Parents who owe arrears can sometimes negotiate a settlement with the other parent or the state. This means agreeing to pay less than the total amount owed.
The person owed the money has to agree to accept less. And a judge has to sign off on the deal. Settlements don’t get approved all that often. Usually, there has to be a compelling reason.
Settlements sometimes happen when the parent who’s owed the money realizes they might never get the total amount. So they decide getting some money is better than holding out for everything and maybe getting nothing. But it’s ultimately up to them whether to accept a deal.
