Michigan Arrears Discharge Worksheet: Form Details

The Michigan Arrears Discharge Worksheet is a four-step administrative tool developed under DHS-681 guidelines and Michigan's IV-D Child Support Manual. It determines whether a non-custodial parent (NCP) qualifies for a full or partial forgiveness of state-owed child support arrears.

Who qualifies for arrears discharge? Eligibility depends on several factors the FOC reviews through the worksheet:

The final section of the form is the Partial Forgiveness Calculator. It estimates the maximum arrears amount that may be forgiven, taking into account the NCP's financial situation and household circumstances.

If you need to address child support obligations more broadly, the Agreed Motion to Terminate Child Support and the Repayment Plan Request form are closely related documents. A Financial Affidavit is often required alongside this worksheet to formally document income and household expenses.

QuestionAnswer
Form NameArrears Discharge Form
Form Length4 pages
Fillable?No
Fillable fields0
Avg. time to fill out1 min
Other namesMichigan arrears discharge worksheet, arrears discharge child, DHS-681 discharge, discharge worksheet template

Form Preview Example

Arrears Discharge Worksheet

Step-by-Step Worksheet

Answer the information below using information from the DHS-681. This form must be submitted before using this worksheet.

[NCP Name]

[FOC Case Number]

[IV-D Case Number]

Answer all questions on the spreadsheet in order, top down. As each question is answered, other questions will appear, as appropriate based on the answer provided.

Initial Evaluation

Has the Statute of Limitations period passed (10 years since the last support charge was due) and no payment has been made within the last ten years to renew the limitations period?

Does the case qualify for IV-D closure?

Has the CP waived his/her interest in CAA?

Is the NCP currently married to the CP?

Have the parties reconciled?

Has the CP waived his/her arrears?

No

No

No

No

No

No

No

Go to the next evaluation question.

Go to the next evaluation question.

Go to the next evaluation question.

Select the "Grid Color Determination" tab in this spreadsheet to determine if the NCP is qualified for Administrative Discharge.

Go to the next evaluation question. Go to the next evaluation question.

Select the "Grid Color Determination" tab in this spreadsheet to determine if the NCP is qualified for Administrative Discharge.

Arrears Management Strategies

If any state-owed support arrears remain on an open IV-D case after applying the Pre Arrears Management Strategy, apply the following strategies to determine whether it qualifies for administrative discharge of arrears.

Arrears REDUCED: Full Discharge Criteria

Is the NCP in prison for life with no chance of parole?

Is the NCP incarcerated with an earliest release date of 10 or more years in the future, and his/her youngest child on the docket where the arrears are being discharged is at least 18 years old?

Is the NCP receiving supplemental security income (SSI) and has been determined to have a permanent impairment?

No

No

No

Go to the next evaluation question.

Go to the next evaluation question.

Go to the next evaluation question.

Is the NCP claiming permanent medical disability but is not receiving SSI?

No

Go to the next evaluation question.

Does the NCP currently receive SSI?

No

Go to the next evaluation question.

Arrears REDUCED: Full or Partial Discharge

6.51E1 (REV. 6/15)

Does the NCP live in the same household with the CP and the child(ren)?

No

Does the NCP have physical custody of the children?

No

Does the NCP have extraordinary medical expenses for himself/herself or a family

 

member?

No

Is the NCP jobless?

No

Has the NCP been living in a long-term (not a 'night-by-night' or 'drop-in') homeless

 

shelter for at least 30 days?

No

Has the NCP been participating in a long-term homelessness program, or a

 

transitional or supportive housing program, for at least 30 days?

Yes

Lump Sum

Does the NCP have the ability to pay a one-time lump-sum amount?

$0

Go to the next evaluation question.

Go to the next evaluation question.

Go to the next evaluation question.

Go to the next evaluation question.

Go to the next evaluation question.

Case qualifies for Arrears REDUCED. Discharge state-owed arrears in full.

$0

6.51E1 (REV. 6/15)

Grid Color Determination

FOC staff can use this worksheet to determine if the NCP is a good candidate for the administrative discharge of state-owed arrears, following Section

6.51, "Arrears Management," of the Michigan IV-D Child Support Manual.

[NCP Name], [FOC Case Number], [IV-D Case Number]

Engagement Factors

Yes/No (Must select yes or no for at least one factor)

Has not hidden or attempted to hide assets

 

Provides, or has provided in the past, non-monetary support (e.g., transportation, child

 

care, etc.) to the child(ren) on an ongoing basis

 

Has participated in a job program, if available and applicable

Yes

Has participated in a life skills program, personal finance class, etc., if available and

 

applicable

 

Has taken the initiative to contact the FOC office regarding his/her inability to pay

 

Has kept his/her contact information current with the FOC office

 

Has provided documentation timely when requested by the FOC office

 

Has appeared at reasonable times and places when requested to provide information

Yes

Was consistently compliant or more compliant with support orders when his/her financial

 

or personal circumstances were better than they are currently

Yes

 

5

 

 

Ability to Pay Factors

Select appropriate description from each factor

Assets

 

Current and/or projected employment (consider skills and education as well as the local

 

economy) and health status

 

Age/life expectancy

 

Past, current, and future incarceration status

 

 

Local Geographic Unemployment Rate > 125% of State

 

Average AND NCP has no personal transportation and lives in

Geographic location

a geographic area without a public transportation system

Current public assistance status

 

Current or future eligibility for Social Security Administration, Veterans Benefits

NCP appears to qualify for SSD or VA benefits, but was

Administration, railroad retirement, or any other publicly or privately provided benefits

denied at this time.

Current and/or previous orders to determine if the ordered amount was based on

 

incorrect or imputed information and whether modifications occurred timely

Most orders based on default

28

Classification of NCP for arrears discharge: Green

NCP is a good candidate for administrative discharge of state- owed arrears.

Continue to evaluate NCP for potential administrative discharge using the step-by-step tab in this worksheet.

6.51E1 (REV. 6/15)

Partial Forgiveness Calculator

NCP Name

[NCP Name]

 

 

 

IV-D Case Number

[IV-D Case Number]

 

 

FOC Case (Docket) Number

[FOC Case Number]

Total amount of arrears owed

$

-

Total amount of state-owed arrears

$

-

Select NCP's state of residence

 

 

 

 

 

Do NCP and CP repeatedly live together, break up and move

 

 

out, then reconcile and move in together again?

No

 

Number of minor children on DHS-681

 

0

Total family size

 

0

Current monthly income amount (DHS-681)

 

$0

Potential/Future monthly earning ability (DHS-681)

$

-

Monthly Medical Bills from DHS-681

$

-

Annual income less medical expenses: $

-

Federal poverty level (Feb. 2015)

 

150% of federal poverty level

 

Discretionary Income

 

Amount to repay in 1 year

 

Monthly expectation

 

Number of months to continue paying

#VALUE!

Total amount of reasonable payments:

$0.00

 

 

Amount of state-owed arrears to forgive

 

 

 

The State-Owed Arrears Discharge Calculator was designed by SCAO's FOC Bureau, in cooperation with the OCS Program Development Division. In accordance with Section 6.51, "Arrears Management," of the Michigan IV-D Child Support Manual, FOC staff may use the spreadsheet and enter data directly into the yellow-shaded cells to help compute the amount the non-custodial parent may be able to pay.

6.51E1 (REV. 6/15)

How to Edit Arrears Discharge Form Online for Free

The Arrears Discharge Worksheet is completed by Friend of the Court staff, not by the NCP directly. Understanding the process helps you prepare the right documentation and request a formal review from your local FOC office.

Step 1: Initial Statute of Limitations Check

The FOC worker first checks whether the statute of limitations has expired on any support charges. In Michigan, the statute of limitations on child support debt is generally 10 years from the date the payment was due. Charges past this window may qualify for automatic discharge without further review.

Step 2: NCP Circumstance Assessment

The worker evaluates the NCP's current life circumstances. Qualifying situations include:

  • Current incarceration with no significant assets
  • Total and permanent disability with no income beyond SSI or SSDI
  • Active participation in a certified long-term homelessness program

Step 3: Grid Color Determination

This step rates the NCP's overall engagement and ability to pay using a color-coded grid system. The grid considers employment history, age, prior incarceration records, and level of cooperation with the FOC. The resulting grid color determines whether the NCP qualifies for a full administrative discharge of state-owed arrears.

Step 4: Partial Forgiveness Calculation

If a full discharge is not possible, the FOC calculates a partial forgiveness amount using the NCP's net monthly income, family size, and allowable medical expenses. The result is the maximum arrears balance eligible for forgiveness under current Michigan guidelines.

To prepare for your FOC review, gather recent pay stubs, proof of disability benefits, and documentation of your household size. A Financial Affidavit can formally document your income for the record. If your support order has changed, also review the Child Support Certification form or consider sending a Letter to the Custodial Parent to communicate your current situation.