Savannah Alimony Lawyers
How Does Alimony Work in Savannah, Georgia?
When initiating the divorce process, alimony is often one of the top concerns. Clients often ask "will I have to pay alimony?", "can I request alimony?", "how long does alimony last?" In Savannah and across the state of Georgia, whether or not alimony is needed, how much is needed, and for how long, is typically decided using the "need vs. ability to pay" analysis. Alimony may be granted if the requesting party can prove they have a financial need for alimony and the paying party has the ability to pay. The court also considers the length of the marriage when determining a need for alimony and when determining how long alimony payments should last.
If you are court ordered to pay or receive alimony, will this affect your taxes? While it used to be the case that alimony could be deducted by the payor and included in income by the receiving spouse, that is no longer the case. The 2017 Tax Cuts and Jobs Act ended the ability to deduct alimony payments and include alimony you received as income for tax purposes.
It's important to note that even if alimony is deemed necessary, alimony payments could stop or end early before the court ordered time due to three particular events. 1) Remarriage, 2) Cohabitation, and 3) Death. You can read more about this below.
Alimony can be complex, especially when gathering
evidence for the need vs. ability to pay analysis. Meriwether & Tharp's
Savannah alimony lawyers have focused solely on alimony issues, divorce and all
aspects of family law for over 25 years. Our experienced family law attorneys
can give you an idea of whether or not alimony is likely and help you craft the
best strategy for your case.
Can I Receive Alimony in Savannah? Will I Have to Pay Alimony and for How Long?
Alimony can be requested during a divorce. Alimony is not needed in every case, but in cases where a spouse may require support and maintenance during and after the divorce, it can be requested. How is alimony determined in Savannah and across the State of Georgia? Alimony is determined by a process known as the "need vs. ability to pay" analysis.
This method evaluates the requesting party's financial need against the paying party's ability to provide support. For example, if the requesting party can show a financial need and if it can be determined that the paying party has the ability to make alimony payments, alimony could be warranted under the need vs. ability to pay analysis. The court considers 8 factors in the "need vs. ability to pay" analysis. When assessing "need," the court reviews factors such as the standard of living during the marriage, each party's financial condition and resources, and the time required for the requesting party to become self-sufficient. To determine "ability to pay," the court similarly examines financial condition, resources, and standard of living. Additionally, the length of the marriage plays a significant role. For instance, alimony is less likely in a short marriage (1 year or less) but more probable in a long marriage (30 years or more). Also, the length of the marriage may play a role in how long alimony payments last. Alimony payments will likely last longer for a 30 year marriage vs. a 3 year marriage.
Is Alimony Taxable? Can I Deduct Alimony Payments on my Taxes?
The rules for taxes and alimony changed in 2017. The Tax Cuts and Jobs Act was passed in December 2017, and it held that paying alimony will no longer be treated as a deduction from the paying spouse's income for tax purposes. Under the 2017 Tax Cuts and Jobs Act, the spouse receiving alimony payments does not have to report those payments as income for tax purposes. The bottom line is that alimony is no longer deductible or taxable like it was prior to the December 2017 Tax Cuts and Jobs Act.
Removing the tax incentive behind alimony
payments will likely make negotiating for alimony a bit more difficult going forward.
Prior to the new 2017 law, the spouse seeking
alimony could negotiate with the paying spouse by assuring the paying spouse
that any payments they make could be deducted from their taxes. That rule is no
longer in effect. For any divorce agreements finalized after December 31, 2018,
the above rule applies.
Could Alimony Payments End or Stop Early in Savannah?
Lifetime alimony or alimony payments that last for a lifetime are very rare in Savannah and throughout the state of Georgia. Alimony is almost always court ordered for a set duration of months and years. What could cause alimony to end early before the court ordered term is up?
There are three scenarios that could happen in
your case to cause alimony to end before the court ordered time is up. 1)
Remarriage. If the receiving spouse remarries before alimony payments are court
ordered to end, then alimony would likely end. 2) Cohabitation. If the receiving
spouse moves in and begins living with a romantic partner, alimony could end.
Note: cohabitation may not always result in an automatic end for alimony, it
may result alimony being modified or reduced. 3) Death of either spouse.
Alimony will terminate upon the death of either the paying spouse or the receiving
spouse.