A practical guide to the net resources formula, the percentage table, and everything that affects the number in your order.
Texas child support is not calculated on gross income. Under Texas Family Code §154.062, the starting point is the paying parent's (the "obligor's") monthly net resources — a defined figure that is neither gross income nor take-home pay.
Once gross income is identified, TFC §154.062 allows the following deductions:
What is not deducted: voluntary 401(k) contributions beyond what is required, private retirement savings, mortgage payments, consumer debt, other children's private school tuition, or any other expense not listed in §154.062.
After calculating monthly net resources, the court applies a fixed percentage based on the number of children before the court in this order:
| Number of Children in This Order | % of Obligor's Monthly Net Resources | Example (net resources = $6,000/mo) |
|---|---|---|
| 1 | 20% | $1,200/mo |
| 2 | 25% | $1,500/mo |
| 3 | 30% | $1,800/mo |
| 4 | 35% | $2,100/mo |
| 5 or more | 40%* | $2,400/mo |
*For 5 or more children, TFC §154.125(b) provides that the court may not order a lesser amount than would be ordered for 4 children. The example figures are hypothetical and illustrative only.
Texas law places a ceiling on the net resources subject to guideline percentages. Effective September 1, 2025, that cap is $11,700 per month. The Office of the Attorney General adjusts this figure periodically; always verify the current cap with the OAG or your attorney before relying on it.
Guideline support is calculated only on net resources up to the cap. If the obligor's monthly net resources exceed the cap — say, $15,000 per month — guideline child support is calculated on $11,700 (approximately), not the full $15,000.
However, TFC §154.126 allows the court to order additional support above the guideline amount if the child's proven needs exceed what the guideline figure covers and the obligor has the ability to pay more. This requires evidence of the child's actual expenses.
If the obligor has children from other relationships — whether by prior order or not — the guideline percentage is adjusted downward. The Texas Family Code provides a table (TFC §154.128) showing adjusted percentages based on the number of children before the court and the number of other children.
Example: an obligor with 1 child before the court and 1 other child not before the court pays approximately 17.5% (rather than 20%). With 2 other children, approximately 16%. The specific figures come from the statutory table. Courts do not automatically apply these credits — the obligor must present evidence of the other children and the amounts involved.
The credit applies whether or not the obligor has a court order for the other children. What matters is that the children are biological or adopted children of the obligor whom the obligor has a legal duty to support. The credit is proportional — it reduces the effective percentage for the children in this case to account for the obligor's total support obligations.
Calculating net resources for a self-employed obligor is one of the most contested areas of child support law. The starting point is Schedule C net income, but courts scrutinize business deductions carefully. Deductions that reduce taxes but don't reflect actual cash income — depreciation, home-office allocations, vehicle deductions — may or may not be accepted by the court as true reductions in net resources.
Additionally, if the court determines that the obligor controls their own pay (as in an owner-operated business), it may look at the business's total revenue, distributions, and lifestyle evidence to determine actual available income. Courts also have the authority to attribute income to a parent who is intentionally underemployed or unemployed — known as "imputed income."
Under TFC §154.066, if a parent is voluntarily unemployed or underemployed without good cause, the court may calculate support based on the income the parent could earn. The court considers the parent's employment history, education, skills, and the prevailing wage for similar work in the relevant area. Illness, disability, and documented inability to work can constitute "good cause."
When a paying parent's monthly net resources exceed the statutory cap, the court may — but is not required to — order additional child support beyond the guideline amount. To do so, the court must find that the guideline amount is not in the best interest of the child (Texas Family Code § 153.002) given the child's proven needs and the obligor's ability to pay.
Above-guidelines support often arises in cases involving private school tuition, extraordinary extracurricular activities, travel, special needs, or the standard of living the child enjoyed during the marriage. The requesting party must present evidence of actual costs.
Learn more about above-guidelines cases →
Every Texas child support order must also address health insurance and medical costs for the child. Medical support is technically a separate component from base child support, calculated under TFC §154.181 et seq. The parent ordered to provide insurance pays the premium; uninsured expenses are typically divided 50/50 or in proportion to the parties' net resources.
Learn more about medical support →
Note: All figures are hypothetical for illustration only. Do not use these numbers to estimate your own support — consult an attorney.
Gross Monthly Income: $7,500 (salary)
Less federal income tax: (approx. $1,050 at single-rate statutory calculation)
Less FICA + Medicare: (approx. $574)
Less health insurance for child: ($180/mo child-only premium)
Estimated Net Resources: Approximately $5,696/mo
Guideline support (20%): Approximately $1,139/mo
The actual tax calculation uses the rate the statute prescribes, not the parent's actual tax return, which can differ significantly from the statutory estimate.
The court presumes the guideline amount is correct. To deviate, the court must make written findings that applying the guidelines would be unjust or inappropriate given specific factors in TFC §154.123. Deviations can go up or down but require justification.
Courts can compel disclosure through discovery. If a parent fails to disclose income, the court may draw adverse inferences or set support at an amount based on available evidence, including prior tax returns, bank statements, and lifestyle evidence.
No. Child support payments are not deductible by the paying parent and are not taxable income to the receiving parent under federal tax law. This distinguishes child support from spousal maintenance.
Typically the date the order is signed, though temporary orders may be in place during the case. The court may order support retroactive to the date the original suit was filed in some circumstances, but cannot retroactively modify a prior order that has already accrued.
1 child: 20% of net resources
2 children: 25%
3 children: 30%
4 children: 35%
5+ children: 40% (min)
Net resources cap: ~$11,700/mo (verify current figure)
Source: TFC §154.125, §154.062. Cap adjusted periodically by OAG.
Child support calculations can be contested. Lynda Landers reviews how the other side calculated net resources and identifies errors.
Errors in net resources calculation — especially for self-employed parents — can mean the wrong number in your order for years. Get a second look.
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