What is a cost of living adjustment for child support?

In North Carolina, a cost of living adjustment (COLA) for child support is an increase in the amount of child support paid to account for changes in the cost of living. This adjustment is intended to make sure that the child support payments keep up with changes in the cost of living that can affect how much the child support recipient needs to cover the costs of raising the child. The North Carolina Child Support Guidelines provide for COLA for child support payments. Any time that there is a significant change in the cost of living, as measured by the Consumer Price Index (CPI), the guidelines direct the court to adjust the amount of child support being paid to the parent receiving it. This adjustment is determined by taking the change in the CPI from the month prior to the hearing to the month prior to the last COLA adjustment and then multiplying this change by the current monthly obligation. In addition to the COLA triggered by changes in the CPI, some courts may also adjust the amount of child support being paid based on other financial changes, such as increased or decreased income of either parent or changes in the needs of the child. In North Carolina, COLA for child support payments is an important tool that can help make sure that child support payments are kept up with changes in the cost of living. This can make it easier for the child support recipient to cover the costs of raising their child, while also taking into account any changes the paying parent’s financial situation may have experienced.

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What is a cost of living adjustment for child support?

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