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Types of Maintenance
Maintenance payments are normally tax
deductible by the spouse paying the
support and are taxable income for the
recipient. All forms of disbursement end
at the death of the recipient spouse.
Maintenance can be dispersed in several
fashions.
·
Permanent Maintenance
is usually awarded to a spouse who has
been in a very long marriage or is
limited in their ability to ever gain
employment. It may be paid out until the
remarriage or death of the recipient.
In rare instances, payment me be
adjusted and continue during a
remarriage and cohabitation. Payments
can be modified, up or down, based on
either party’s circumstances.
·
Lump Sum Maintenance
can be awarded in a one time payment
instead of periodic payments. There may
be significant tax consequences with
this arrangement. This form of payment
may be given instead of a property
settlement.
·
Rehabilitative Maintenance
is given to a spouse to help them gain
skills to enable them to join the work
force through educational programs. It
may also be given to a parent who will
be staying home to take care of children
while they are young. Payments
generally continue for certain period of
time.
·
Reimbursement (Temporary) Maintenance
is given to pay a spouse back for lost
employment opportunities that were
sacrificed for the other spouse.
Temporary maintenance may be awarded
while the divorce is in process. It is
usually given out over a specific period
of time, usually one to two years.
Go BackAlimony Topics: (click on each for description)
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