Tex. Fam. Code § 154.061-154.067

TEXAS FAMILY CODE Chapter 154, Subchapter B — COMPUTING NET RESOURCES AVAILABLE FOR PAYMENT OF C CHAPTER 154 • CHILD SUPPORT Subchapter B: COMPUTING NET RESOURCES AVAILABLE FOR PAYMENT OF CHILD SUPPORT Sec. 154.061. COMPUTING NET MONTHLY INCOME. (a) Whenever feasible, gross income should first be computed on an annual basis and then should be recalculated to determine average monthly gross income. (b) The Title IV-D agency shall annually promulgate tax charts to compute net monthly income, subtracting from gross income social security taxes and federal income tax withholding for a single person claiming one personal exemption and the standard deduction. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Sec. 154.062. NET RESOURCES. (a) The court shall calculate net resources for the purpose of determining child support liability as provided by this section. (b) Resources include: (1) 100 percent of all wage and salary income and other compensation for personal services (including commissions, overtime pay, tips, and bonuses); (2) interest, dividends, and royalty income; (3) self-employment income; (4) net rental income (defined as rent after deducting operating expenses and mortgage payments, but not including noncash items such as depreciation); and (5) all other income actually being received, including severance pay, retirement benefits, pensions, trust income, annuities, capital gains, social security benefits other than supplemental security income, United States Department of Veterans Affairs disability benefits other than non-service-connected disability pension benefits, as defined by 38 U.S.C. Section 101(17), unemployment benefits, disability and workers' compensation benefits, interest income from notes regardless of the source, gifts and prizes, spousal maintenance, and alimony. 101(17), unemployment benefits, disability and workers' compensation benefits, interest income from notes regardless of the source, gifts and prizes, spousal maintenance, and alimony. (c) Resources do not include: (1) return of principal or capital; (2) accounts receivable; (3) benefits paid in accordance with the Temporary Assistance for Needy Families program or another federal public assistance program; or (4) payments for foster care of a child. (d) The court shall deduct the following items from resources to determine the net resources available for child support: (1) social security taxes; (2) federal income tax based on the tax rate for a single person claiming one personal exemption and the standard deduction; (3) state income tax; (4) union dues; (5) expenses for the cost of health insurance, dental insurance, or cash medical support for the obligor's child ordered by the court under Sections 154.182 and 154.1825; and (6) if the obligor does not pay social security taxes, nondiscretionary retirement plan contributions. Source: Texas Legislature Online (89th Leg., 2nd Called Sess., 2025) Page 1 --- TEXAS FAMILY CODE Chapter 154, Subchapter B — COMPUTING NET RESOURCES AVAILABLE FOR PAYMENT OF C (e) In calculating the amount of the deduction for health care or dental coverage for a child under Subsection (d)(5), if the obligor has other minor dependents covered under the same health or dental insurance plan, the court shall divide the total cost to the obligor for the insurance by the total number of minor dependents, including the child, covered under the plan. (f) For purposes of Subsection (d)(6), a nondiscretionary retirement plan is a plan to which an employee is required to contribute as a condition of employment. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by Acts 1995, 74th Leg., ch. 751, Sec. 41, eff. Sept. n employee is required to contribute as a condition of employment. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by Acts 1995, 74th Leg., ch. 751, Sec. 41, eff. Sept. 1, 1995. Amended by: Acts 2007, 80th Leg., R.S., Ch. 363 (S.B. 303), Sec. 1, eff. September 1, 2007. Acts 2007, 80th Leg., R.S., Ch. 620 (H.B. 448), Sec. 1, eff. September 1, 2007. Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 9.001, eff. September 1, 2009. Acts 2009, 81st Leg., R.S., Ch. 767 (S.B. 865), Sec. 4, eff. June 19, 2009. Acts 2009, 81st Leg., R.S., Ch. 834 (S.B. 1820), Sec. 1, eff. September 1, 2009. Acts 2009, 81st Leg., R.S., Ch. 1118 (H.B. 1151), Sec. 1, eff. September 1, 2009. Acts 2011, 82nd Leg., R.S., Ch. 91 (S.B. 1303), Sec. 9.001, eff. September 1, 2011. Acts 2011, 82nd Leg., R.S., Ch. 932 (S.B. 1751), Sec. 1, eff. September 1, 2012. Acts 2013, 83rd Leg., R.S., Ch. 1046 (H.B. 3017), Sec. 1, eff. September 1, 2013. Acts 2015, 84th Leg., R.S., Ch. 1150 (S.B. 550), Sec. 11, eff. September 1, 2018. Sec. 154.063. PARTY TO FURNISH INFORMATION. The court shall require a party to: (1) furnish information sufficient to accurately identify that party's net resources and ability to pay child support; and (2) produce copies of income tax returns for the past two years, a financial statement, and current pay stubs. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Sec. 154.064. MEDICAL SUPPORT AND DENTAL SUPPORT FOR CHILD PRESUMPTIVELY PROVIDED BY OBLIGOR. The guidelines for support of a child are based on the assumption that the court will order the obligor to provide medical support and dental support for the child in addition to the amount of child support calculated in accordance with those guidelines. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by Acts 2001, 77th Leg., ch. 1023, Sec. 7, eff. Sept. 1, 2001. Amended by: Acts 2015, 84th Leg., R.S., Ch. 1150 (S.B. 550), Sec. 12, s 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by Acts 2001, 77th Leg., ch. 1023, Sec. 7, eff. Sept. 1, 2001. Amended by: Acts 2015, 84th Leg., R.S., Ch. 1150 (S.B. 550), Sec. 12, eff. September 1, 2018. Sec. 154.065. SELF-EMPLOYMENT INCOME. (a) Income from self-employment, whether positive or negative, includes benefits allocated to an individual from a business or undertaking in the form of a proprietorship, partnership, joint venture, close corporation, agency, or independent contractor, less ordinary and necessary expenses required to produce that income. (b) In its discretion, the court may exclude from self-employment income amounts allowable under federal income tax law as depreciation, tax credits, or any other business expenses shown by the evidence to be inappropriate in making the determination of income available for the purpose of calculating child support. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Sec. 154.0655. IMPUTATION OF INCOME. (a) In this section, "resources" has the meaning assigned by Section 154.062(b). (b) To the extent possible, the court shall rely on evidence of a party's resources when applying the support guidelines. Source: Texas Legislature Online (89th Leg., 2nd Called Sess., 2025) Page 2 --- TEXAS FAMILY CODE Chapter 154, Subchapter B — COMPUTING NET RESOURCES AVAILABLE FOR PAYMENT OF C (c) In the absence of evidence of a party's resources, the court, when applying Section 154.066 or 154.068, shall consider relevant background circumstances regarding the obligor, including: (1) the obligor's: (A) assets; (B) residence; (C) employment; (D) earnings history; (E) job skills; (F) educational attainment; (G) literacy; (H) age; (I) health; (J) criminal history; (K) barriers to employment; and (L) record of seeking work; (2) job opportunities in the obligor's community; (3) the prevailing wage in the obligor's community; and (4) whether there l history; (K) barriers to employment; and (L) record of seeking work; (2) job opportunities in the obligor's community; (3) the prevailing wage in the obligor's community; and (4) whether there are employers willing to hire the obligor. Added by Acts 2021, 87th Leg., R.S., Ch. 552 (S.B. 286), Sec. 2, eff. September 1, 2021. Sec. 154.066. INTENTIONAL UNEMPLOYMENT OR UNDEREMPLOYMENT. (a) If the actual income of the obligor is significantly less than what the obligor could earn because of intentional unemployment or underemployment, the court may apply the support guidelines to the earning potential of the obligor. (b) In determining whether an obligor is intentionally unemployed or underemployed, the court may consider evidence that the obligor is a veteran, as defined by 38 U.S.C. Section 101(2), who is seeking or has been awarded: (1) United States Department of Veterans Affairs disability benefits, as defined by 38 U.S.C. Section 101(16); or (2) non-service-connected disability pension benefits, as defined by 38 U.S.C. Section 101(17). (c) The court may not consider incarceration as intentional unemployment or underemployment when establishing or modifying a support order. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by: Acts 2013, 83rd Leg., R.S., Ch. 1046 (H.B. 3017), Sec. 2, eff. September 1, 2013. Acts 2021, 87th Leg., R.S., Ch. 552 (S.B. 286), Sec. 3, eff. September 1, 2021. Sec. 154.067. DEEMED INCOME. (a) When appropriate, in order to determine the net resources available for child support, the court may assign a reasonable amount of deemed income attributable to assets that do not currently produce income. The court shall also consider whether certain property that is not producing income can be liquidated without an unreasonable financial sacrifice because of cyclical or other market conditions. If there is no effective market for the property, the carrying costs of such an investment, including ted without an unreasonable financial sacrifice because of cyclical or other market conditions. If there is no effective market for the property, the carrying costs of such an investment, including property taxes and note payments, shall be offset against the income attributed to the property. (b) The court may assign a reasonable amount of deemed income to income-producing assets that a party has voluntarily transferred or on which earnings have intentionally been reduced. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Source: Texas Legislature Online (89th Leg., 2nd Called Sess., 2025) Page 3 --- TEXAS FAMILY CODE Chapter 154, Subchapter B — COMPUTING NET RESOURCES AVAILABLE FOR PAYMENT OF C Sec. 154.068. WAGE AND SALARY PRESUMPTION. (a) In the absence of evidence of a party's resources, as defined by Section 154.062(b), the court shall presume that the party has income equal to the federal minimum wage for a 40-hour week to which the support guidelines may be applied. (b) The presumption required by Subsection (a) does not apply if the court finds that the party is subject to an order of confinement that exceeds 90 days and is incarcerated in a local, state, or federal jail or prison at the time the court makes the determination regarding the party's income. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Amended by: Acts 2013, 83rd Leg., R.S., Ch. 1046 (H.B. 3017), Sec. 3, eff. September 1, 2013. Acts 2015, 84th Leg., R.S., Ch. 1249 (H.B. 943), Sec. 1, eff. September 1, 2015. Sec. 154.069. NET RESOURCES OF SPOUSE. (a) The court may not add any portion of the net resources of a spouse to the net resources of an obligor or obligee in order to calculate the amount of child support to be ordered. (b) The court may not subtract the needs of a spouse, or of a dependent of a spouse, from the net resources of the obligor or obligee. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April red. (b) The court may not subtract the needs of a spouse, or of a dependent of a spouse, from the net resources of the obligor or obligee. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Sec. 154.070. CHILD SUPPORT RECEIVED BY OBLIGOR. In a situation involving multiple households due child support, child support received by an obligor shall be added to the obligor's net resources to compute the net resources before determining the child support credit or applying the percentages in the multiple household table in this chapter. Added by Acts 1995, 74th Leg., ch. 20, Sec. 1, eff. April 20, 1995. Source: Texas Legislature Online (89th Leg., 2nd Called Sess., 2025) Page 4