Law Office of Joanne Kleiner

Archives for February 2021

Feb 21

Comparing and Contrasting the Various Types of Alimony in Divorce

A Brief Explanation of the Different Types of Alimony

Although everything is rarely split right down the middle in a divorce, the process almost always breaks apart most, if not all, aspects of spouses’ lives. According to a 2013 U.S. Census Bureau publication, 93.4% of the 1.8 million Americans who provide alimony to their former romantic partners or spouses are men. Of the $18.3 billion given to ex-partners or ex-spouses as court-ordered financial support, the mean and median annual amounts were $5,154 and $9,958, respectively.

All Alimony Eventually Boils Down to This

No matter what type of alimony you’re ordered to pay, it’s still alimony. Alimony, like all elements of divorce, is highly situationally dependent. In other words, alimony payments won’t just depend on your income.

The purpose of alimony is to support your ex-spouse’s lifestyle following a divorce. As you’ll learn throughout this article, different types of alimony serve different purposes. All of them, however, force someone to make regular payments to his or her ex-spouse.

A Precursor — Understanding Divorce and Legal Separation

Before diving into these three types of alimony, it’s important to understand the differences between divorce and legal separation.

As you may know, courts use marriages to officially recognize partners as full-fledged spouses. Marriages create legal obligations and rights for spouses, including the choice to file income taxes as married filing jointly. The IRS actually encourages married couples to file jointly by offering them several tax credits, including the Earned Income Tax Credit, the Child and Dependent Care Tax Credit, and the American Opportunity Tax Credit.

Similar to how courts legally recognize marriage, courts also formally recognize divorce as the immediate, permanent dissolution of marriage. Although alimony can be an upside or a downside, depending on which side you’re on, divorce comes with downsides, such as potentially having the responsibility to make financial support payments to your soon-to-be ex-spouse.

In terms of legal recognition, Pennsylvania courts don’t care whether you’re engaged to or dating someone. Conversely, splitting from your spouse without getting divorced does, in fact, hold legal weight in some states. This alternative to divorce is known as legal separation.

Pennsylvania, however, doesn’t have laws that recognize legal separation. The Quaker State allows spouses to create separation agreements that have many of the same functions as divorces without actually getting divorced.

Some of these functions include splitting property, creating co-parenting schedules, determining alimony payments, calculating child support obligations, and establishing who’s responsible for paying bills and outstanding debts.

Now that you understand the difference between legal separation and divorce, we can review the three different types of alimony recognized by the Keystone State: spousal support, alimony and alimony pendente lite.

Spousal Support

Unlike alimony or alimony pendente lite, spousal support is the only type of alimony that requires legal separation to be involved. Although courts want both spouses to support themselves, judges grant spousal support to dependent spouses to help them get on their feet.

Spousal support is available after you’ve formally filed a separation agreement and up until you or your spouse file for divorce. It doesn’t matter who files for divorce. As such, this form of financial support ends whether you or your spouse files for divorce.

Pennsylvania courts use a complex formula, which is found under 231 Pa. Code § 1910.16-4, to calculate the dollar amount of spousal support owed.

Alimony Pendente Lite

After spousal support eligibility ends, the dependent spouse can receive alimony pendente lite, which translates from Latin into English as “alimony pending litigation.”

This type of court-ordered financial support begins after a spouse has filed a divorce complaint and ends after the divorce is finalized.

Alimony pendente lite helps dependent spouses keep their proverbial heads above water throughout the divorce process. It also gives them the chance to properly defend themselves in court by hiring a divorce lawyer. Alimony pendente lite is calculated with the same formula that’s mentioned above. It’s just as long, and arguably too complex, for any non-attorney to understand.

Alimony

This is the alimony you probably had in mind before reading this article. In Pennsylvania, judges award alimony to dependent spouses to lighten the financial load of transitioning to pre-marriage life.

Although exceptions exist, alimony usually doesn’t break the better-off spouse’s bank. Judges strive to be reasonable when determining whether dependent spouses should receive ongoing financial support and, if so, what amount.

Lastly, there isn’t a time limit for alimony payments. Still, you shouldn’t expect to make monthly alimony payments indefinitely. Court-ordered spousal financial support usually won’t last more than a few years.

If you’re anticipating a divorce or legal separation, you can’t go wrong by contacting the Law Office of Joanne Kleiner of Jenkintown at (215) 886-1266. The firm’s sole practitioner, the well-tenured divorce lawyer, Joanne Kleiner, has more than 42 years of legal experience. You can also reach us by filling out our website’s contact form.

Feb 17

The Difference Between Equitable and Community Property Division

Equitable and Community Property Division Rules Are Not the Same

More than 700,000 Pennsylvania residents are divorced. This state operates under equitable property division guidelines in divorce proceedings. A spouse who assumes that he or she will automatically walk away with a 50/50 split of marital property is mistaken.

Property Division Rules Vary by State

Divorce laws vary by state. There are currently 41 states that operate under equitable property division guidelines and nine states that use community property rules. In every state, marital property and marital debt refer to assets or liabilities spouses have acquired or incurred during the marriage.

A family court judge overseeing property division proceedings will determine how marital property and marital debt should be split between spouses to settle a divorce. A divorce lawyer can help a concerned spouse protect his or her financial interests in court. Certain divorce-related topics can make property division more complex, such as if spouses have children together and must determine whether they will continue to live in the marital household and, if so, who will live with them as well as who will pay for maintenance and upkeep of the home.

How Equitable Property Division Differs From Community Property Rules

Business partners typically possess shared ownership interests in the assets of their company. If they dissolve their partnership, it is common to divide assets and liabilities between them. It is similar in divorce, meaning that neither spouse has an exclusive right or responsibility to any asset or debt accrued during the marriage. In states where community property division rules apply, all marital assets and debts are equally split, 50/50, between spouses in a divorce. In Pennsylvania and other equitable property states, the division of marital property must be fair but not necessarily equal.

A judge ruling on property division issues in an equitable property state determines how assets and debts should be split so that each spouse receives a fair portion of the overall value of the total assets and the amount of debt to be paid.

Establishing Separate Property Ownership

If spouses signed a prenuptial agreement before their wedding day, it is possible that certain assets or debt have legally been assigned separate ownership or liability to one spouse or the other. Certain issues, such as an inheritance that is designated for one spouse only, may also not be subject to property division in a divorce. Intended spouses can use a prenuptial contract to protect assets or avoid a liability, such as a future spouse’s college loan debt, in case a divorce takes place at some point; this is true whether the state in question has equitable or community property rules.

Equitable Property Rules Enable Asset Trading

In order for a Pennsylvania family court judge to determine a fair division of assets, spouses must fully disclose every asset or property they own. In some cases, it’s possible for spouses to agree to trade assets, meaning they agree to exchange the value of one asset for another. For instance, a car cannot be physically split in two; however, spouses might agree to exchange the value of a car for the value of another asset. Another example might be if a spouse wants to keep the marital home and is willing to exchange his or her value portion of a vacation property or other assets in order to do so. A divorce lawyer can make recommendations to a client regarding specific asset value issues.

Seek Clarification of State Laws Before Heading to Court

Divorce isn’t easy, but it’s often possible achieve a fair settlement and move on with life even if some issues are more complex and challenging to resolve than others. Regarding equitable property division versus community property division rules, it’s critical to understand the difference and to know which laws apply in a specific set of circumstances. If a person lacks knowledge about equitable division guidelines and heads to court assuming that he or she will automatically get an equal portion of assets in a divorce, discovering that this is not necessarily true may have a significant impact on his or her settlement and post-divorce financial status.

It’s always best to act alongside experienced legal representation in court because a family law attorney can protect a client’s rights and financial interests, especially during property division proceedings. If you’re concerned about property issues as you prepare for a Pennsylvania divorce, reach out to a Jenkintown divorce lawyer by calling (215) 886-1266.