Alimony Meaning

Alimony: A Guide to Spousal Support After Divorce

What is Alimony?

Alimony, also known as spousal support, is a court-ordered payment made by one spouse to another after a divorce or separation. It is intended to help ensure that the lower-earning spouse does not experience a significant financial hardship due to the divorce.

Types of Alimony

There are several types of alimony, including:

• Temporary alimony: This is a short-term payment intended to help the lower-earning spouse adjust to life after divorce.
• Permanent alimony: This is a long-term payment that may be awarded if the lower-earning spouse is unable to support themselves sufficiently on their own.
• Rehabilitative alimony: This type of alimony is intended to help the lower-earning spouse gain the education or training they need to become financially independent.

Factors Considered When Awarding Alimony

When deciding whether to award alimony, a court will consider several factors, including:

• The income of each spouse
• The length of the marriage
• The reason for the divorce
• The age and health of each spouse
• The standard of living during the marriage
• The earning capacity of each spouse

How Alimony is Calculated

The amount of alimony awarded is typically based on the payor's income and assets. It is determined using a formula that takes into account the factors listed above. The exact formula varies from state to state.

Tax Treatment of Alimony

As of 2019, alimony payments are no longer tax-deductible for the payor spouse. However, they are still considered income for the recipient spouse.

Alimony and Remarriage

Alimony payments typically end when the recipient spouse remarries. However, there are some exceptions to this rule.

Alternatives to Alimony

In some cases, alimony may not be appropriate. Alternative options include:

• Property division
• Child support
• Vocational training
• Job placement assistance

Conclusion

Alimony can be a valuable tool to help ensure that both spouses are able to maintain a reasonable standard of living after a divorce. However, it is important to understand the factors that are considered when awarding alimony and the tax implications.