Contract Labor & Child Support

Child support is due even if it is not withheld from income.

Collecting child support may be more difficult if the non-custodial parent works as contract labor. The reason for this is that contract laborers are not treated as employees and their withholdings are treated differently.

Contract Labor

Contract labor, or working as an independent contractor, is a term defined by the Internal Revenue Service. An independent contractor is not considered an employee and is able to work in a less constrictive environment, by making their own hours and having more freedom in how to complete a project.

Child Support Not Withheld

Contract labor is not considered an employee, which means federal and employment taxes are not withheld from their pay. As such, child support is also not withheld.

Child Support Still Due

Even though child support may not be withheld from an independent contractor's income, it is still due to the custodial parent. The non-custodial parent may face enforcement proceedings if they do not pay child support as ordered.

References

• Internal Revenue Service: Independent Contractor (Self-Employed) or Employee?
• Attorney General of Texas: What is the definition of an "employee" for Employer New Hire Reporting purposes?
• Attorney General of Texas: What about independent contractors and new hire reporting?