Alimony is a form of financial support that can help make the outcome of divorce a bit fairer. Typically, those requesting alimony must demonstrate a need for financial support. Leaving a job to raise children could leave one spouse largely incapable of supporting themselves after a divorce. Medical challenges that may have arisen during the marriage could render one spouse unable to continue their career.
The courts can order alimony, which some people refer to as spousal maintenance or spousal support, when there is a verifiable need on the part of one spouse. The amount of each alimony payment and the overall duration of the alimony order typically depend on the length of the marriage, the discrepancy in financial circumstances and other details about the family. The income of the paying spouse is an important consideration. If the paying spouse receives bonuses or commissions, fluctuations in their income could require modifications.
Irregular pay complicates alimony calculations
The courts consider base income and regular bonuses when calculating alimony during divorce proceedings. However, the courts retain the authority to modify alimony obligations based on changes in financial circumstances.
If the paying spouse has an exceptional year for sales and receives an unusually high amount of commission pay or a much larger bonus than usual, their good fortune can potentially influence their alimony obligations. Similarly, a significant reduction in commissions or bonuses could potentially lead to the courts reducing alimony.
However, in scenarios where the paying spouse requests a modification based on a loss of income, they usually need to prove that the loss was not voluntary or intentional. The courts may consider not just their income but also their earning potential when deciding if the amount of alimony ordered is appropriate.
Those preparing for divorce may need to factor in the regular income that they or their spouse receive through bonuses and commissions. They may need to respond appropriately in cases where the annual bonuses or commissions received by the paying spouse shift significantly.
Reviewing financial records with a skilled legal team can help people evaluate the strength of a claim for alimony or the potential need to modify an existing order. Ultimately, legal guidance and support can make it easier for people to secure appropriate financial terms at the end of a marriage.