How Does Child Support Affect Workers’ Comp Payments in Pennsylvania?
This issue arises in many cases. Workers’ Compensation benefits in Pennsylvania can be attached for payment of a support order. Act 109 of 2006 made a change to the Domestic Relations Act to state that support which is delinquent under a payment schedule established by a court is a lien against the net proceeds of any monetary award.
So what is a “monetary award”? It is defined as any portion of a settlement paid as a lump sum as a Workers’ Compensation or Occupational Disease Act award. It does not include a lump sum payable vis-a-vis a structured settlement annuity.
What does “net proceeds” mean? It is defined as monies in excess of $5,000 payable to the employee after payment of attorneys’ fees, litigation expenses, documented unpaid medical expenses incurred for treatment of the work injury, any indemnity or medical payments, and payments to the Medical Assistance Program.
So, if you are receiving Pennsylvania Work Comp indemnity benefits, your checks may be reduced to account for a child support obligation. It is important for the injured worker’s attorney to obtain a copy of the Court Order.
All Pennsylvania Workers’ Comp Lump Sum Settlements have to account for any child support arrears. An injured worker is required to sign a Child Support Affidavit and a lien search is also required using the injured worker’s social security number. The goal is to make sure that any arrears are paid off before the injured worker pockets settlement money- or at the very least, a payment plan.
For more information about child support and PA Workers Comp, call or email Certified Bethlehem Workmans Comp Attorney Michael W. Cardamone directly at (267) 651-7945.