How is Child Support Calculated in Colorado?

The Child Support Formula
Here in Colorado, child support is calculated using a formula.  There are exceptions for high income families, but for the most part the formula is utilized.

There can be exceptions and complexities to the formula but, for the purposes of this blog post, I am going to talk about the general information you need to understand how the formula works.

There are three major factors that go into the formula:

1.  Gross Income
Each parent's gross income is placed into the formula.  If you are a salaried employee this is relatively simple.  Bonuses are included and can be averaged over the past few years.  Overtime is not considered gross income.

If a parent owns a business then it is somewhat more difficult to come up with a number for gross income.  Tax records are usually utilized to come up with an average figure for income.  However, depending on how the business is run, there could be arguments on what the gross income really is.  There is some complexity around stock options and income in kind like company cars and frequent flyer miles.

There are issues that pop up around things like disability income and income from personal injury settlements.  If there are issues in your case, please feel free to give us a call to discuss in more depth.

2.  Overnights with the Child or Children
The second number that is placed into the formula is the number of overnights per year that each parent has with the child.  If you are with your child all day but you return them to the other parent at night, you do not get to put that day into the formula.  Only an overnight counts.  The more overnights you have, the less you will pay in child support and vice-versa. 

In some cases, parents will agree at first to a small amount of overnights and then change their mind when the find out that there is such a dramatic effect on the amount of child support they will have to pay.  It is important to be realistic about overnights.  I have seen scenario's where the Dad says he wants 50/50 parenting time, it is agreed to as part of the parenting plan and child support is calculated based on 50/50, only to find that the Dad does not utilize the 50/50 in practice.  He has received the benefit of the 50/50 parenting time in the calculation of child support but is inconsistent in using his right to parenting time.  The Mother ends up with less child support than is needed given that she is really doing the majority of the parenting time.  Now, this can be brought back to Court in a Motion to Modify Child Support and Parenting Time but it is much easier and less expensive to get it right the first time. 

3.  Extraordinary Expenses:
The third basic element to put into the child support formula includes any expenses that the children have on a regular basis that are out of the ordinary.  This could include regular medical expenses or extracurricular activities.  Whoever is paying for medical insurance and/or child care can get credit for doing so in the formula.

Also, if one parent is paying child support already for other children, this will be entered into the formula as well.

Modifying Child Support:
You can go to Court following the initial determination of Child Support to Modify the amount of Child Support if there is more than a 10% difference in the bottom line of the Child Support Calculation due to some sustainable change in circumstances.  For instance, one parent may now make significantly more or less gross income or one parent may be exercising significantly more or less parenting time (overnights) than originally agreed to in the formula. 
This outline provides a very basic understanding of how Child Support is calculated in Colorado.  Each case must be looked at with all the unique circumstances in mind and I would highly advise speaking with a family law attorney to estimate the amount of Child Support that you can expect in your case.