News and Insights

Sept. 23, 2019

The Attorney General announced this month that effective September 1, 2019 the “cap” on an obligor’s monthly net resources for purposes of calculating child support pursuant to the guidelines has increased to keep pace with inflation from $8,550 to $9,200. 

The change in the cap affects child support calculations for families whose obligor earns more than $9,200.  Here’s how that might affect your child support.

Under the old guidelines the max rate for one child was $2,137.50 monthly ($8,550.00 x 0.20)

The new cap increases monthly child support per the guidelines to $2,300.00 ($9,200.00 x 0.20)

Here’s the published announcement.

Announcement of Adjustment Required by Texas Family Code §154.125

Effective September 1, 2019, the guidelines for the support of a child apply to situations in which the obligor's monthly net resources are not greater than $9,200.00.

Texas Family Code §154.125 (in part):

APPLICATION OF GUIDELINES TO NET RESOURCES.

(a) The guidelines for the support of a child in this section are specifically designed to apply to situations in which the obligor's monthly net resources are not greater than $7,500 or the adjusted amount determined under Subsection (a-1), whichever is greater.

(a-1) The dollar amount prescribed by Subsection (a) is adjusted every six years as necessary to reflect inflation. The Title IV-D agency shall compute the adjusted amount, to take effect beginning September 1 of the year of the adjustment, based on the percentage change in the consumer price index during the 72-month period preceding March 1 of the year of the adjustment, as rounded to the nearest $50 increment. The Title IV-D agency shall publish the adjusted amount in the Texas Register before September 1 of the year in which the adjustment takes effect. For purposes of this subsection, "consumer price index" has the meaning assigned by Section 341.201, Finance Code.

Computation:

February 2019, the designated CPI was 733.407

February 2013, the designated CPI was 681.158

The CPI change was 52.249 (733.407-681.158)

The CPI increased by 7.67061% (52.249 ÷ 681.158= 0.0767061)

$8,550 x 1.0767061= $9,205.84

$9,205.84 rounded to the nearest $50 increment is $9,200.00