LET ME CALCULATE THE INTEREST/ARREARAGE FOR YOU
Articles: The Math of the 2006 Interest Laws, The Application of Child Support Interest: More Than Just A Sharp Pencil
Co-creator of Paidpro - arrearage calculator for pre 2006 child support judgment laws.
Caselaw: In Re Marriage of Smith
Speaker: Winnebago County Bar Association - Spring 2006
Northwest Suburban Bar Association - Summer 2005
Interest on unpaid child support is required. Click here to see the state law 28/15(b)
Attorneys are required to include interest when they represent you in court.
If you enter an arrearage in the court based upon the principal only you lose the interest.
There is no website which accurately states how much the current arrearage is.
Delinquencies listed on withholding notices are never correct.
The amount told to you on the state "hotline" is not correct, assuming you can talk to someone.
An arrearage calculation worksheet produced by the state may take up to six weeks to obtain.
Calculations from me will be returned to you by email within 48 hours after payment.
DO YOU KNOW HOW MUCH IS OWED?
Hypothetical – The Judge orders the noncustodial parent to pay child support at the rate of $400.00 per month with the first payment due February 15, 2007. If nothing is paid as of March 31, 2008 the amount owed is $5,600.00 in principal with an additional $273.00 for interest. The arrearage that should be entered in the order would be $5,873.00. In the other three scenarios the obligor (see 28/15(e)) paid the same amount but the amount he owes just for interest is significantly different depending on when it was paid ($2,863, $2,926, $3,010).
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Paid nothing
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Paid February and every other month thereafter
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Paid first seven months and nothing last seven
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Paid last seven months and nothing first seven
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If you or your attorney fails to include the interest, the court order will only state the arrearage at $5,600.00. You have lost the interest owed to you. Future calculations will be based upon this arrearage. Under Illinois law you can not calculate interest on the arrearage because this would be compounding interest. Compounding interest on civil judgments is forbidden.
Standard calculations $50.00
List of payment amounts and dates must be provided.
Payment and date list can be in form of SDU / Court Clerk / typed.
Copies of court orders for support, or a list of amounts ordred and commencement dates.
Termination date of current support.
Based upon current law 750 ILCS 5/12/109(b)
*Hard copies will be mailed for an additional $5.00
Comparison calculations between SDU & withheld by employer $75.00
List of payment amounts and dates must be provided for each
Payment and date list can be in form of SDU / Court Clerk / typed.
Copies of court orders for support, or a list of amounts ordered and commencement dates.
Termination date of current support.
Based upon current law 750 ILCS 5/12/109(b).
*Hard copies will be mailed for an additional $5.00
Comparison calculations of pre and post 2006 interest laws $200.00
List of amounts and dates must be provided.
Payments list can be in form of SDU / Court Clerk / typed.
Copies of court orders for support, or a list of amounts and commencement dates.
Termination date of current support.
Based upon current law 735 ILCS 5/12/109(b) vs. 735 ILCS 5/12-109(a) and 2-1303
*Pre 2006 calculations available in hard copy only and will be mailed.
JUST MULTIPLYING BY 9% IS WRONG
When you get a chance take a look at the new laws, 2006 Interest Laws, if you end up feeling that the new language is hard to follow join the club. These laws are not only difficult to read they are near impossible as to determine how they are applied. I have written an article on the new laws and it can be read by going the website for the Illinois Institute for Continuing Legal Education, www.iicle.com. The article is titled The Math of the 2006 Interest Laws. The research in this article is based not only on Federal and State of Illinois Child Support Laws but on information or lack thereof from the State of Illinois pursuant to the Freedom of Information Act.
It is important to note that there are two issues that drafters of the new laws failed to account for in the new law. First the laws do not let us know if such laws are retroactive to payments owed prior to January 1, 2006, and second is which date is considered the date paid. The State of Illinois uses the date funds are received by the State Disbursement Unit, "SDU" or the Illinois comptroller's office. These dates can be significantly later than the date withheld by an employer or the date a tax refund is taken.