Alimony usually becomes an issue in divorce when one party has not worked outside the home during the marriage, has only worked part time during the marriage or there is a disparity in actual or potential earnings of the parties. Alimony is generally based on the receiving spouse’s need for alimony, the receiving spouse’s ability to provide for their own financial needs and the ability of the other spouse to pay support to the other party.
Alimony is awarded with the goal of allowing both parties to sustain the standard of living during the marriage with the expectation that both parties will work full time if they are able, but recognizing that there is rarely enough income for both parties to live exactly as they lived during the marriage and that both parties will likely have to make financial adjustments during and after the divorce process.
Alimony may sometimes involve a fairly straightforward calculation if both parties are employed full time and the parties’ standard of living can be ascertained. The calculation may become much more difficult if one or both parties is self employed, where income of one or both parties is difficult to determine or where the income or earning potential of one or both parties is disputed.
We work with forensic accountants and vocational assessors where income, standard of living during the marriage and/or earning potential are at issue.