Section 505(a)(3) of the Illinois Marriage and Dissolution of Marriage Act specifies certain minimum guidelines which a divorce court is mandated to use in determining child support. Those guidelines set a percentage of the non-residential parent’s “ net income”: 20% for one (1) child; 28% for two (2) children; 32% for three(3) children; 40% for four(4) children; 45% for five (5) children; and 50% for six(6) or more children.
The divorce statute defines “net income” as “the total of all income from all sources, minus the following deductions:
(a) Federal income tax payments (properly calculated withholding or estimated tax payments);
(b) State income tax (properly calculated withholding or estimated tax payments);
(c) Social Security (FICA payments);
(d) Mandatory retirement contributions required by law or as a condition of employment;
(e) Union dues;
(f) Dependent and individual health/hospitalization insurance premiums;
(g) Prior obligations of support or maintenance actually paid pursuant to a court order;
(h) Expenditures for repayment of debts that represent reasonable and necessary expenses for the production of income, medical expenditures necessary to preserve life or health, reasonable expenditures for the benefit of the child and the other parent, exclusive of gifts. The court shall reduce net income in determining the minimum amount of support to be ordered only for the period that such payments are due and shall enter an order containing provisions for its self-executing modification upon determination of such payment period.”
These guidelines are customarily applied by courts in divorce cases. However, Illinois law allows… Continue reading
As a Chicago divorce attorney I am frequently asked questions regarding child support issues. The Chicago family law governing divorce cases, the Illinois Marriage and Dissolution of Marriage Act, provides that a parent must pay child support from “all income from all sources”. Income is generally thought of as salary, other compensation from employment, interest, dividends, monies from partnership entities, perquisites, and the like.
In In Re the Marriage of McGrath, a case decided in 2011, a Court used the regular withdrawals from an unemployed father’s IRA account as “income” for purposes of child support. In the McGrath case, the father was unemployed at the time of the divorce and the issue of child support was reserved. Nearly one year after the divorce, the father was still unemployed. He had been withdrawing $8,500.00 each month since the divorce to pay his own living expenses. When the mother petitioned the divorce court for child support, the court considered the $8,500.00 per month as income to the unemployed father, and awarded child support based upon the IRA withdrawals. The father argued that the IRA account did not constitute income because the money in the account was no different than a savings account, i.e. the money was already there. Also, the father had been awarded his IRA account as part of his property settlement in the divorce.
The Appellate Court affirmed the trial Court’s decision, saying that a trial court has the discretion in the appropriate case to order child support based on… Continue reading
The Illinois child support statute sets out “guideline” support percentages to be paid by the non-residential parent, based upon the number of children in the family. For example, if there is one child, 20% of the payor’s net income; if there are two children, 28% of the payor’s net income. The statute is precise as to what can and cannot be deducted from a payor’s gross income. To determine net income the support amount is based upon income from all sources, not just a parent’s salary.