Navigating divorce is tricky, as over 2,000 people discover every day. After figuring out living situations and who gets which car, there are still long-term issues to resolve. Among them is alimony payments.
If this is going to be a part of your life, it’s best to understand everything you can about alimony. Here’s what you need to know!
What is Alimony?
Alimony is a court-ordered payment given regularly to an ex-spouse. This could be a permanent arrangement or a situation that lasts for a fixed amount of time. It is separate from child support payments.
Alimony is automatically terminated for several reasons. First, if either spouse dies; second, if the spouse receiving payments remarries; finally, if they live with a new partner for more than 90 days.
In most cases, a family court judge will decide the type of alimony and the amount paid. They consider factors like the length of the marriage and the age and careers of each spouse when making their decision.
Making Alimony Payments
Generally, the higher-earning spouse pays divorce alimony.
So, how much is alimony? That depends on the judge and the unique circumstances of your divorce. Likely, it will be a percentage of your income.
There are different methods for how to pay alimony. You could pay it all at once as a lump-sum payment, or you may pay periodically or every month. The arrangement could be either permanent or for a prearranged length of time.
A law change in 2018 made alimony payments no longer deductible on your taxes.
If you refuse to pay court-ordered alimony, you will face charges and legal penalties.
Receiving Alimony Payments
You may be awarded alimony if your standard of living will drop considerably after your divorce. If you can prove that to be the case, you can request alimony.
If your marriage was short, you may only receive rehabilitative alimony for long enough to become self-sufficient. If you supported your partner during their education, you may be reimbursed for that but not necessarily supported long-term.
Be sure to request alimony before you finalize your divorce. Only some states allow alimony negotiations to begin afterwards. This usually only occurs if there is an unforeseeable major life change.
Alimony payments are no longer considered taxable income for divorces after 2018. You should still keep track of alimony payments to keep your former spouse accountable.
Negotiating Alimony Payments
Divorcing couples can come to an agreement regarding alimony payments without court interference. It is only when the pair cannot decide between themselves that a judge becomes involved. However, it is rare that alimony negotiations conclude outside of court.
Negotiating alimony may occur more than once over the course of the agreement.
For instance, if a major life change occurs, alimony payments can be modified or ended. These changes include events such as entering retirement, losing a job, becoming disabled, and more unique circumstances.
Learn More
If you’re going through a divorce, alimony payments may become an important part of your life.
Make sure to educate yourself on state and national laws if you are negotiating alimony. Ask your divorce lawyer today if there’s anything you need to know about your alimony payments.
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