How Is Alimony Calculated ?  

There is no specific formula using which alimony can be calculated. American Law Institute commission studied various approaches used in various jurisdictions and arrived at certain recommendations. The commission recognized that the amount finally calculated would not be same for all parties because of the varied factors. However, the two unique factors which are common in all marriages are -- the duration of marriage and the income of the alimony seekers.

Keeping these two as main factors and others as deviation factors, the commission has proposed recommendations that can be adopted by various jurisdictions.

If the deviation factors are not considered, then alimony amount should be computed by considering 30 percent of the client’s total income deducted by 20 percent of the recipient’s gross income however this should not be more than 40 percent of the total income of both the groups. The length of the marriage is an important factor, the deviation factor for a marriage duration 0 to 3 years would be 0.3 likewise 3 to10 years is 0.5, 10 to 20 years is 0.75 and for above 20 years a permanent alimony is granted. The alimony payment for the spouse is computed before calculating the child support. Gross income includes actual and attributed income. If the gross income is more than $1,000,000 a year, then spousal support payment is not calculated in this manner.

The various deviation factors related to spouse which can change the amount calculated could be age and health, any previous debt ordered by the court, principal caretaker of a minor or disabled grown up child, unusual needs, on receipt of unequal share of marital property, renounced income and further opportunities, tax penalties, additional conditions that make claim inequitable.

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Who-Qualifies-For-Alimony      Most people consider alimony as a payment done by the husband to his wife however it is a spousal support applicable for both husband and wife. A number of factors are evaluated before awarding alimony. The length of marriage is one of the most important factors which determine whether alimony would be temporary or permanent. More..




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How Is Alimony Calculated ? )
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