Alimony and Its Impact on Divorce Settlement
Splitting up is not something most couples think about on their wedding day. Nevertheless, many once happily-married couples find themselves visiting attorneys and filing for divorce. In doing so, they come face to face with one of the most debated issues in breaking up: alimony. The purpose of spousal support is to bridge a gap between a spouse who may have been unemployed or underemployed for a variety of reasons. While it is often debated, it is something that many couples have to face during the process. Knowing how it works helps understand why it may apply to your situation.
Duration of the Marriage
Alimony is only an issue in marriages considered long-lasting, typically one lasting at least 10 years. An alimony attorney orlando fl can give you better insight. During these relationships, it is not uncommon for one spouse to leave a job to help care for children. When this happens, there exists a disparity in wage-earning when breaking up.
Before January 2019, the person ordered to pay alimony received a tax break, as the money was not taxed, but counted in their favor reducing take-home pay. The recipient, however, had to claim the payments as income and pay taxes according. However, the new tax code no longer gives the payer an incentive instead of taking taxes out on that end.
Asset Division may Affect the Amount
When the assets, including property and cash, are split, one spouse may wind up with more than the other. This may have an adverse effect on alimony, or it may be used to buy-out a qualified recipient from the obligation. If the recipient is also receiving child support, it, too, may effectively reduce the amount of spousal support ordered by a court.
Negotiating the terms of a divorce may be more difficult when alimony gets thrown in. However, it is possible to reach a reasonable solution if both parties are willing to compromise.