Calculating & Collecting Child Support
South Carolina Child Support Guidelines (Updated 2014) are used to calculate child support. The formula considers health insurance and healthcare costs, daycare, and other child-rearing expenses. South Carolina DSS offers an unofficial online calculator that can be useful for estimating support. If both parents have court-ordered overnight visitation for more than 109 nights each year (30%), custody is considered to be shared, which changes the calculation for child support.
Determine how often the noncustodial parent is paid. If the opposing party does not include pay stubs in the financial declaration or provide them when asked, add this to your discovery.
Decide whether to ask for wage-withholding or to allow payment directly from the noncustodial parent. Wage-withholding goes directly from the employer to the local Child Support office through the Clerk of Court. This is generally the most reliable way to protect the interests of the custodial parent, although there can be temporary interruptions due to change of employment.
Sometimes the noncustodial parent will seek direct payment so that an employer need not know about the child support. If this is a priority for the opposing party, you can accede to the direct payment but write into the final order a process that allows the custodial parent to file an affidavit that converts to wage-withdrawal if the payment is ever more than X days late or is late more than X times. Make certain that this process is clear so that your client can easily follow the process is necessary, and specifically state that the noncustodial parent will be responsible for the 5% court costs of wage-withholding. Failure to include this language could cost your client 5% of their future support.
Be specific about finances in the final agreement. Specify the amount to be paid, how frequently it will be paid, whether direct or through wage-withholding, whether it is through the Clerk of Court, and that the noncustodial parent is responsible for the 5% fee.
Specify the total cost including the fee. For example, “Jordan J. Doe shall pay $100 weekly and the additional 5% court costs of wage-withholding, for a total payment of $105.00.”
If the support arrangement is direct from parent to parent, encourage your client to ensure there is a record of payment. A written and dated receipt from the receiving parent or payment journal may work.
If your client has de facto custody, does not wish to bring a child support action which could threaten that status, but receives government benefits, DSS could initiate a child support action on behalf of the child. If your client already receives child support through a previous DSS action, you will need to discuss with your client whether to carry over that calculation or ask for a new support figure. Primary considerations should include change in employment or income, the birth of a new child, or medical expenses that are outside the scope of the original agreement.
If your client decides to challenge the DSS support plan, you must notify the Department of Social Services.
Healthcare Costs and Insurance
Establish which party is responsible for health insurance costs and credit that expense in the child support calculation. Specify how uncovered healthcare expenses will be shared between parents, even if the client is currently on Medicaid. Without this safety net, your client could be exposed to additional expenses should circumstances or federal programs change before the youngest child ages out of the support arrangement.
The South Carolina standard division of healthcare costs is that the custodial parent pays the first $250 of uncovered expenses each year, with expenses beyond this split by income percentage. So Parent A, who earns 60% of combined parent income in the child support calculation would be responsible for 60% of all child healthcare expenses beyond $250 each year, regardless of whether Parent A is custodial or noncustodial. Parties may also decide to split uncovered healthcare costs evenly.
Be precise with your language. Use “healthcare” rather than medical, and explicitly define healthcare to include pharmaceutical, therapeutic (necessary care for most children from homes with domestic violence), dental, and orthodontic expenses. Remember, 100% of psychological or medical expenses resulting from domestic violence must be paid by the abuser.
Tax Considerations
The Earned Income Tax Credit (EITC) is assigned by the IRS to the custodial parent and may not be transferred.
The dependent deduction and child tax credit are assumed to go to the custodial parent, but may be transferred by written agreement. If a custodial parent client is willing to transfer these tax considerations, the client is giving away a tangible financial consideration. Do not hesitate to ask that the noncustodial parent receiving the exemption benefit pay a percentage of the recovered income to your client. Any divorce in or after 2009 must file IRS Form 8332 to transfer these tax benefits. Form 8332 is not linked because there is a proposed revision to the form (as of July, 2018).
In cases which also involve divorce, victims of domestic violence may claim Innocent Spouse Relief or Injured Spouse Relief when filing. Those are technical considerations beyond the scope of this tutorial
Attorney Fees
If you plan to seek attorney fees, keep extensive notes throughout the case and prepare detailed affidavits for the hearing.
Legislative guidelines for attorney fees are found in §63-3-530 and §20-3-130, while the governing Supreme Court decisions are Glasscock v. Glasscock (1991) and EDM v. TAM (1992). Be familiar with the judicial considerations found in these cases if you plan to seek attorney fees.