EXECUTIVE SUMMARY:
Federal law requires States to have a program in place for businesses to report newly hired employees for the purpose of collecting child support payments. This final report points out that the State of New Hampshire took this a step further by requiring businesses to also report the hiring of independent contractors. As a result, the State was able to identify income of noncustodial parents working as independent contractors and increase child support collections by an estimated $1.065 million for the year ended October 12, 1998. We are recommending that the Administration for Children and Families consider the merits of encouraging other States to require businesses to report the hiring of independent contractors.