Child support revision passes

05/18/2005

Jean Hopfensperger, Star Tribune
May 18, 2005

Minnesota’s system for calculating child support—long the subject of angry parent complaints—would be dramatically revamped under a bill passed by the Senate on Tuesday.

For the first time, both parents’ incomes would be considered when determining child support payments. Currently only the income of the noncustodial parent, typically the father, is considered.

Support levels would be based on gross income, not net income, which has allowed parents to hide money in 401(k) plans and other shelters. Meanwhile, the state would create a website with a simple child support calculator for parents to use.

About 265,000 Minnesota children receive child support through the state. The bill would simplify that decades-old system and make it more fair to both parents, said Sen. Tom Neuville, R-Northfield, the bill’s chief author.

“I can’t believe what an incredible struggle it’s been up to this point,” said Neuville, referring to the clashes between the advocacy groups representing mothers and fathers. “But it [the bill] sailed through today with barely any questions. ... It’s the most bipartisan bill of the session,” he joked, referring to its swift 60-2 passage.

The House is expected to take up a similar measure this week.

The child support formula hasn’t been changed in more than 20 years. During legislative testimony, fathers argued that the current rules don’t make adjustments for the financial status of their ex-wives or consider the cost of raising a new family after a divorce.

Custodial mothers, meanwhile, have told lawmakers that the actual cost of raising children is far greater than current guidelines recognize. Even if the child spends time with the father, custodial parents still must pay for housing, groceries and the children’s other basic needs, they argue.

Considering the income of the custodial parents when deciding payments would put Minnesota in line with 37 other states, said Sen. Linda Berglin, DFL-Minneapolis, who worked with Neuville on key sections of the bill.

The provision recognizes a phenomenon that is new since the guidelines were first formulated, namely that most Minnesota mothers are working.

“It’s time for Minnesota to join the other states that use this approach,” said Berglin. “We’ve been talking about it for seven years, studying it and introducing legislation.”

A big question for many parents has been how much more—or less—money would they get or pay under the new formula. Neuville says that would vary.

A custodial parent with one child would get less support, in most cases, he said. A custodial parent with two or more children would get more support—until the income of both parents is equal. After that, the support would be lower than today.

The bill also would:

• Reduce support payments for noncustodial parents who have additional children after the divorce or separation.

• Not allow support payments to drive parents into poverty.

• Create a “parental expense adjustment.” If parenting time is 10 to 45 percent for the noncustodial parent, there would be a 12 percent reduction of child support. If parenting time is equal between both parents the expenses for the children would be equally shared. And if the adjusted gross incomes of both parents were also equal, then no support would be paid.

Father’s rights groups have said the bill doesn’t go far enough in equalizing the playing field between both parents.

A companion bill, with some policy differences, is likely to reach the House floor this week.