The Equity in Marriage Institute offers a few caveats to alimony.
First, the judge determines how much alimony a divorcing spouse receives, if any.
Second, most states do not permit a spouse to retroactively seek modification of a divorce judgment that does not provide for alimony unless the agreement specifies otherwise. A nominal amount of alimony - even $1 a year preserves the right to ask for more money later.
Third, in equitable distribution states, courts may award one spouse a larger share of the marital property and also require the other spouse to pay health insurance or reasonable medical expenses not otherwise reimbursed as alimony.
Moreover, divorcing couples must be mindful of recapture, which refers to the ability of the IRS to recover the tax benefit of deduction or a credit taken by a taxpayer and, as it applies to divorce, prevents a divorcing couple from dividing their property and calling the distribution alimony.
According to the Family Law Section of the American Bar Association, the jurisdictions weigh one or more of the spousal support factors as follows:
Resources & Tools
TAXABILITY – When it meets IRS guidelines about the terms and conditions of payment, alimony is deductible to the payor and taxable to the recipient. Requirements for this tax treatment include explicitly labeling the payments as spousal support in the divorce decree and requiring the spouses to live apart while receiving support and terminating the payments when the recipient spouse dies.
Easily Connect With a Lawyer or Mediator
Have Divorce Professionals from Your Area Contact You!
The Spousal Support Handbook
The Effect of Artificially High and Low Marital Standards of Living on Spousal Support Awards
Established in 1996
© 1996 - 2021 MH Sub I, LLC dba Divorce Source. All Rights Reserved.