Thursday, September 9th, 2010

Alimony

Financial StruggleAlimony

There are 10 factors that determine alimony, that both parties in a divorce need to be aware of.

Alimony, also referred to as spousal support, is an obligation established by family law based on the premise that the spouses are obligated to support each other during their marriage. Spousal support is the extension of that obligation, after legal separation or divorce. Alimony is an amount of money awarded to the lower income spouse, and it’s designed to help them cope with living expenses. This amount of money is separate from child support.

Specific guidelines to awarding alimony are broad. Divorce judges have no clear specification as to when and why to award alimony, so in some states this decision is made by courts based on what they think is fair in each case.

In states like Texas, Montana, Kentucky and Maine, there are clear guidelines on the amount and duration of alimony. For example, Texas law allows alimony only to spouses who have been married for more than 10 years or longer. The duration of the payments should not exceed 3 years, unless there are special circumstances to be considered.

Other states like California, Nevada or New York the alimony guidelines are vague, so the decision rests in the discretion of the family court. In other states where there are not clear statues on alimony, divorcing spouses have little or no information to help them determine what amount and duration would be considered fair.

In both cases, the divorce judges will make their decision, based on the following relevant factors.

  1. Length of marriage. This is one of the most important factors in determining the duration of alimony. Generally, the longer the marriage was, the longer the alimony lasts. In some states, if the marriage was longer than 10 years, alimony is permanent.
  2. Duration of separation during the marriage. In some states separation can trigger the dissolution of marriage. In others, such as New Jersey, separation or legal separation are not recognized. For example, if a couple has been married for 2 years, than separated for another 8 years, in New Jersey that will amount as a 10 year marriage.
  3. Age of the spouses at the time of the divorce. Generally, the younger spouses are considered more likely to be able to support themselves, thus the alimony duration is shorter. Older spouses are usually awarded longer periods of alimony.
  4. The income of the spouses. Some states recognize the right of the divorcing spouses to continue living “according to the means to which they have been accustomed”. The purpose of alimony is consequently to help the lower income spouse approximate their prior lifestyle.
  5. State of health. If one of the spouses is in poor health, he or she is considered to be unable to provide for themselves. Most courts take this into consideration when deciding the amount of alimony awarded.
  6. Financial prospects. If one of the spouses is going to realize a substantial income in the future, they will have to pay more alimony.
  7. Gender of recipient. Historically, men make more money than women and have fewer gaps in employment as a result of childrearing. This is why women are more likely to be awarded alimony.
  8. Marital misconduct. The court will consider any misconduct of any of the spouses during their marriage or prior to separation.
  9. Assets and liabilities. Other important factors taken into consideration are the debts, other legal obligations and properties that the couple has.
  10. The contribution by one spouse to the financial situation of the other. If one of the spouses contributed to the education, training or increased earning power of the other, then he or she should be compensated accordingly.

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