The Michigan Child Support Formula is a device that determines the amount of financial support that non-custodial parents must pay following divorce or separation. This formula is primarily based on each parents’ earnings. It further considers expenses such as childcare, health insurance and uninsured medical costs, as well as the amount of time children spend with each parent (parenting time). The formula is designed for fairness, striving to ensure that children continue to benefit from the resources of both parents and that obligations are distributed equitably.
Every four years, the Michigan Supreme Court reviews and updates the Child Support Formula so that it remains responsive to changing economic conditions and is equitable for all parties. The following 2025 updates reflect current economic realities, such as rising childcare costs and new income patterns:
- Medical expenses — The formula has been revised as to how uninsured medical expenses are divided between parents. Instead of splitting these costs strictly according to prior income or parenting time calculations, the new formula calls for a more precise, income-proportional division. This is meant to better reflect each parent’s actual ability to contribute, taking into account situations where one parent has significantly higher earnings or insurance benefits.
- Childcare costs — Updates have been made to incorporate the rise in daycare and after-school care expenses into support calculations. The revised formula uses tables based on current market rates, recognizing that childcare is a substantial and increasing part of many families’ budgets. This ensures that both parents share these costs commensurately with their incomes.
- Income definitions — The 2025 revisions provide detailed clarifications on what constitutes “income.” Notably, gig economy earnings (like rideshare, freelance and delivery work), annual bonuses and certain retirement contributions are now explicitly included. This helps make sure that child support orders fully reflect the real financial resources available for child support.
- Parenting time adjustments — There have been significant updates regarding how overnights and shared custody arrangements affect support obligations. The formula now uses a more nuanced method for calculating the impact of shared parenting, particularly addressing situations where parenting time is nearly equal, in order to avoid large, abrupt swings in support amounts due to minor changes in schedule.
- Low-income protections — The new formula introduces higher minimum income thresholds before a support order can be set. This update is designed to help ensure that low-income parents are not pushed into poverty or forced to choose between basic living expenses and child support obligations.
Parents with existing child support orders should review them in light of the new rules. A modification may be warranted if the formula updates would substantially alter the support amount. An experienced Michigan child support attorney can help parents understand the impact of the 2025 changes, gather the necessary documentation and petition the court for order modification when appropriate, ensuring that child support arrangements remain fair and reflect your family situation.
Dawson Family Law, PLLC in Troy provides comprehensive legal counsel to parents throughout Michigan on all aspects of child support, including enforcement and modification. Please call 586-514-0084 or contact me online to schedule a free initial consultation.
