For those in Florida who are planning to end their marriage in the coming months, timing could play a big role in how the financial side of things works out. The Tax Cuts and Jobs Act will eliminate the alimony tax deduction, starting with divorces made final after the last day of 2018. That may seem like a long time away, but in reality, time is running out to reserve the right to claim that tax benefit.
For those in Florida who are preparing to divorce, timing is a very important consideration, especially this year. Under the Tax Cuts and Jobs Act, spouses will no longer be able to claim alimony payments as tax deductions beginning in 2019. That means time is running out to take advantage of this important tax benefit. For some spouses, the ability to claim those payments as deductions makes a big difference in the bottom line each year.
According to a survey conducted by the American Academy of Matrimonial Lawyers, many attorneys have noted an increase in the number of women paying spousal support. That's a sharp departure from the norm in place decades ago, when men traditionally paid alimony and women were almost always the recipients. The shifting statistics suggest great things about the ability of women to advance in the workplace, although many Florida women are surprised to learn that they will be required to pay alimony after a divorce.
When an individual falls behind on spousal support or child support, it's not always intentional. An example is found in the case of Robert Meachem, former NFL player. Some Florida readers may recall that Meachem spent a few days in jail for unpaid alimony and child support, but that incident led to the discovery that he was the victim of fraud.
For many Florida women, the hard work and dedication they've poured into their careers is paying off in the form of increased pay and job responsibilities. That's creating changes at home, as well. For those who are navigating shifting gender roles, it's important to consider how those changes could affect spousal support in the event of a divorce.
When a Florida couple decides to file for divorce, financial decisions are usually some of the most contentious topics. If spousal support, also known as alimony, comes into play, the discussions between the former couple may tend to become slightly more heated. This would be true for most couples, regardless of their jobs or financial status. It is certainly the case for one celebrity couple in another state.
A significant number of divorces in Florida involve stay-at-home parents who typically lose their financial independence and have minimal opportunity to build retirement funds. Even if the other spouse is ordered to pay spousal support, the amount is generally based on living expenses. Alimony is often limited to a specific period to allow that person to prepare for re-entry into the job market.
For many Florida residents, having the ability to deduct spousal support from their taxes takes a bit of the sting out of those payments. Unfortunately, the newly passed and signed Republican tax bill eliminates the alimony deduction. This could change the divorce negotiation landscape for couples across the nation.
The vast majority of Florida residents who enter into marriage do so with a sincere intent to create a lifelong partnership. In some cases, however, it swiftly becomes apparent that the marriage is unsustainable. Faced with reality of the divorce, many people wonder if their circumstances make it possible to get an annulment. One benefit of an annulment is the elimination of any claim of spousal support by either party.