How Child Support Affects Workers’ Compensation Benefits

When a job-related injury prevents you from working in Oregon, workers’ compensation benefits can cover your medical bills and replace some of your lost wages. This no-fault system gives many workers the time and financial support to recover and return to the workforce.

However, workers’ comp benefits do not replace 100 percent of your lost wages when you’re too hurt to work. If you happen to be a noncustodial parent with child support obligations, a significant reduction in your monthly income can be a genuine concern.

Here are the basics of how child support orders can affect workers’ compensation benefits in Oregon.

Can Workers’ Comp Benefits Be Garnished?

Oregon takes child support obligations very seriously. Each parent has a legal responsibility to provide their children with financial support while they remain dependent. That responsibility does not change when parents get hurt.

In some cases, a noncustodial parent’s wages may be garnished to pay for child support. Under § 25.414(8) of the Oregon Revised Statutes (ORS), up to 50 percent of your wages can be garnished to cover child support obligations. But what happens to wage garnishment orders when workers’ comp benefits replace an injured worker’s regular wages?

Will My Workers’ Compensation Be Taken to Pay for Child Support?

In some cases, yes. Workers’ compensation benefits can be withheld to pay for child support. Although any benefits you receive for medical costs should go directly to your medical bills, a portion of your wage-loss benefits may be taken to cover your child support obligations.

ORS § 656.234 sets forth the amounts of various types of workers’ comp benefits that may be withheld for child support obligations:

• If you receive monthly workers’ comp benefits for temporary total disability (TTD) or temporary partial disability (TPD), up to 25 percent of your monthly benefits are subject to garnishment. If you have no current child support obligations and your wages are being garnished for arrearages only, the maximum amount of withholding is reduced to 15 percent.
• If you receive a lump-sum award for TTD or TPD benefits, up to 50 percent of the lump-sum award may be subject to garnishment.
• If you receive monthly permanent total disability (PTD) or permanent partial disability (PPD) benefits, up to 50 percent of your monthly benefits are subject to garnishment.
• If you receive a settlement payment from a disputed workers’ comp claim, up to 50 percent of the proceeds from the settlement are subject to garnishment.

Do I Have to Pay Less Child Support Since Workers’ Compensation Pays Me Less Than What I Was Earning at Work?

Child support obligations do not change just because you are working less or not working at all. But having to pay for child support when you’re already struggling to cover medical bills and costs of living can be a challenging situation.

Fortunately, if you believe you may be out of work for a while, you have the right to request a modification of your child support order. With the help of a knowledgeable attorney, you can reduce your support obligations and protect your workers’ comp benefits.

Contact Our Experienced Milwaukie Workers’ Comp Lawyers Today

The Law Offices of Jodie Anne Phillips Polich, P.C., has more than 20 years of experience helping injured workers in Oregon with workers’ compensation issues, including those involving family matters like child support. Contact us today to discuss the details of your situation with Jodie in a free initial consultation.