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For Immediate Release: Thursday, Sept. 20, 2007
Contact: Jenice Robinson or Ranit Schmelzer, 202-588-5180
New Census Data Show Increased Child Support Collections for Poor Families
NWLC: Congress Should Prevent Cuts in Child Support Enforcement Funds
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The data make a strong case for reversing dramatic cuts to the program that are set to take effect Oct. 1 if Congress fails to act. Cutting funding for child support enforcement is particularly counterproductive in light of the fact that for every dollar it spends, the program recovers $4.58 in owed child support for custodial parents, who are overwhelmingly women, and their children.
“Children need and deserve support from both their parents,” said Nancy Duffy Campbell, Co-President of the National Women’s
For many low-income families, receiving child support is the key to economic security. In fact, child support payments lift more than a million Americans out of poverty. Today’s Census data, for 2005, show the growing importance of child support for poor custodial parents. For example:
· More poor custodial parents are receiving child support. In 2005, 73 percent of poor custodial parents who were owed child support received some payments, compared to 67 percent in 1995.
· Poor custodial parents are receiving more of the child support they are owed. In 2005, 40 percent of poor custodial parents received all the child support they were owed, compared to 28 percent in 1995.
· The amount of child support received by poor custodial parents, and its importance as a source of income, has increased. In 2005, poor custodial parents who received child support received $3,372 on average, representing 43 percent of their income. In 1995, poor custodial parents who received child support received $2,786 in 2005 dollars ($2,174 in 1995 dollars), representing 33 percent of their income.
The Census data is based on a sample of all custodial parents who have children under age 21. It includes parents who do and do not use the services of the public child support enforcement program. Data reported earlier this year by the federal Office of Child Support Enforcement show substantial increases since 1995 in child support collections for families using the public child support enforcement program. For example:
· The collection rate more than doubled. In 2006, collections were made in 54 percent of all cases and 70 percent of cases in which child support orders were established. In 1995, collections were made in just 19 percent of all cases and 34 percent of cases in which orders were established.
· More of the child support owed is being collected. In 2006, 60 percent of current child support was collected, compared to 53 percent in 1995.
More than 17 million children and their families received $24 billion in child support in 2006 through the child support enforcement program. Nearly half (46 percent) of the families served are former recipients of public assistance. Current welfare recipients comprise 15 percent of the child support enforcement caseload; families that never received public assistance (but may be receiving Food Stamps or Medicaid) represent 39 percent.
Federal funding for child support enforcement was cut as part of the controversial Deficit Reduction Act of 2005. The Congressional Budget Office estimates that these cuts will cost families about $11 billion in uncollected child support over the next ten years as state programs are forced to lay off staff, postpone computer upgrades and abandon promising initiatives. Bills to restore funding have been introduced in both the House and Senate and have gained bipartisan support.
More than 430 national, state and local organizations representing low-income families, child support enforcement professionals, state and local officials, service providers, employers, and labor have joined to urge Congress to restore funding for child support enforcement.
“Child support enforcement is a smart investment,”
For more information about why restoring funding for child support enforcement is important to families, see http://www.nwlc.org/pdf/ChildSupportJune2007.pdf .
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