Child Support When Obligor Quits or Is Underemployed

One of the most frustrating scenarios in child support cases occurs when the paying parent — the obligor — voluntarily quits their job, takes a lower-paying position, or deliberately reduces their income in an apparent effort to minimize their child support obligation. Texas law provides an important safeguard against this tactic by allowing courts to calculate support based on the obligor's earning potential rather than their actual income.

Under Section 154.066 of the Texas Family Code, if the court finds that the obligor's actual income is significantly less than what they could earn because of intentional unemployment or underemployment, the court may apply the child support guidelines to the obligor's earning potential. This process is known as imputing income, and it prevents a parent from shirking their financial responsibilities to their child through deliberate income reduction.

To impute income, the court examines the obligor's employment history, education, skills, work experience, and the job market in their geographic area. If the evidence shows that the obligor is capable of earning substantially more than their current income, the court will calculate support based on what the obligor could reasonably be expected to earn. For example, an experienced engineer who quits to take a minimum-wage job without a legitimate reason may have income imputed at the level of an engineer's salary.

There are legitimate reasons for income reduction that courts will recognize. A parent who is laid off, becomes disabled, returns to school to improve long-term earning capacity, or takes a lower-paying job for valid personal reasons may not have income imputed. The key question is whether the reduction was made in good faith or was designed to evade the support obligation. Courts examine the totality of the circumstances and the timing of the income change relative to the support proceedings.

If a support order is already in place and the obligor subsequently reduces their income, the existing order remains enforceable at the original amount until it is formally modified by the court. Arrearages — unpaid support — continue to accumulate regardless of the obligor's current income. A parent who believes their support obligation should be reduced due to a genuine change in circumstances must file a modification petition and obtain a new court order. Unilaterally reducing payments without court approval exposes the obligor to enforcement actions including contempt.