Alimony is financial support provided to the spouse who is at a financial disadvantage after a divorce. There are three types of alimony: (1) periodic alimony, (2) lump-sum alimony, and (3) rehabilitative alimony.
Periodic Alimony
Periodic alimony requires the paying spouse to make monthly payments (e.g., $2,000) to the recipient until their death or remarriage.
- Duration: Indefinite
- Modification: Periodic alimony ends automatically when the recipient dies or remarries. It can also be terminated upon cohabitation with someone of the opposite sex. Additionally, it may be modified if there is a substantial change in circumstances.
- Tax Consequences: The paying spouse can deduct the payments, and the recipient must report the payments as taxable income.
Lump-Sum Alimony
This type of alimony involves a one-time, total payment (e.g., $50,000 paid in $10,000 monthly installments for five months).
- Duration: Can be paid in installments or as a lump sum for a specified period.
- Modification: Lump-sum alimony is non-modifiable, as it is treated like a contract.
- Tax Consequences: Depending on how it is defined in the agreement, lump-sum alimony may or may not be deductible by the payer or taxable to the recipient.
Rehabilitative Alimony
Rehabilitative alimony is typically the preferred form of support, designed to help the recipient regain their financial independence. For example, the court may order the paying spouse to provide $1,000 per month for 36 months.
- Duration: For a specific time period
- Modification: It ends automatically upon the recipient’s death or remarriage, and it can be terminated if the recipient has made reasonable efforts toward rehabilitation that were unsuccessful.
- Tax Consequences: The payer can deduct the payments, and the recipient must report them as income.
- Purpose: This alimony aims to help the disadvantaged spouse regain earning capacity, particularly when one spouse sacrificed a career during the marriage.
Factors Considered in Determining Alimony
The court considers several factors when deciding on alimony, including:
- The financial resources of the spouse seeking support, including their earning potential and other divorce settlements like property division and child support.
- The standard of living during the marriage.
- How long it will take for the disadvantaged spouse to find employment or complete necessary education.
- The health of both spouses, both physical and mental.
- The balance between the disadvantaged spouse’s needs and the other spouse’s ability to pay.
- Physical conditions like disabilities or chronic illnesses.
Considerations for Awarding Alimony
The court’s main considerations are the need of the disadvantaged spouse and the paying spouse’s ability to support them.
Note that fault may be considered when awarding alimony but usually not when dividing property, unless there is evidence of one party dissipating marital assets.
Alimony Modifications
Alimony can be modified if there is significant and lasting change in circumstances, such as death, remarriage, cohabitation, or retirement under reasonable conditions.
Alimony Pendente Lite
This temporary form of alimony is intended to help the disadvantaged spouse cover divorce-related expenses. It ends once the divorce is finalized, and cohabitation does not affect it.
- Changes: When the couple’s combined monthly income exceeds $30,000, a formula is applied to determine support. This formula accounts for the difference in income and any minor children, along with the marriage’s duration.
Divorce Lawyer R. Badet
With extensive experience, Divorce Lawyer R. Badet is dedicated to guiding clients through every stage of the divorce process. His expertise includes handling complex divorces, spousal support, child support, and custody cases. Contact him for a free consultation to learn more about your legal rights. Visit his website at www.lawyersfordivorces.net for more information.
Relevant Keywords for Divorce Services:
- Divorce lawyers nearby
- Divorce and family law attorney
- Low-income divorce lawyers
- International divorce lawyer near me
- Reasonable divorce lawyers
- Best-rated divorce lawyers near me
- Finding a good divorce lawyer
- Divorce and family lawyer near me
- Divorce lawyers for men near me
- Black divorce lawyers near me
- Family law divorce lawyers
- Contested divorce lawyer
- Family attorney
- Divorce Lawyer Near Me
- Divorce Attorney Near Me
- Divorce Lawyer In Philadelphia
- Family court lawyers
- Custody lawyers near me
- Child custody lawyers near me
- Cheap divorce lawyers
- Family law lawyers near me