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Social Security Benefits & Child Support Obligations

Differentiating between the type of social security benefits received by the recipient or obligor of child support is important because some benefits qualify as income, thus effecting the amount of child support he or she is required to pay or is eligible to receive.  Moreover, some benefits may be payable to a child of a parent receiving social security benefits, which effects the child support obligations of both parents.

Social Security Income (SSI):
SSI is a means-tested benefit.  A government benefit is “means-tested” if eligibility for the benefit or its amount is determined on the basis of the income or resources of the recipient.  Thus, SSI benefits are not considered income to the recipient for the purposes of determining a support award, such the calculation of child support under the New Jersey Child Support Guidelines.               

Social Security Disability (SSD):
SSD payments represent money which an employee has earned during his employment and that which his employer has paid for the employee’s benefit into a common trust fund under the Social Security Act.  The purpose of SSD payments is to replace income lost due to the employee’s inability to work upon becoming disabled.  Thus, SSD payments are a substitute for earned income and constitute a non-means-tested benefit such that this benefit is included as income to the recipient for the purposes of determining a support award, such as the calculation of child support under the New Jersey Child Support Guidelines. 

Children of recipients of SSD benefits may be eligible to receive auxiliary benefits until they turn eighteen.  If a child is receiving an auxiliary benefit under SSD, this may be deducted from the payor’s child support obligation.  If the SSD benefit received by the child is greater than the total amount of support obligation, then the child support amount should be 0 under the New Jersey Child Support Guidelines (i.e. no child support is due and owing).

Full post as published by New Jersey Law Blog on January 26, 2009 (boomark / email).