How to Make the Most of Your Alimony

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How to Make the Most of Your Alimony

Alimony is a tool we can use in your divorce to give you the financial boost you need to get on your feet after a divorce. It buys you the time you need to obtain additional education or training and/or to reenter the workforce and become financially self-sufficient. It can also be a way to attempt to mirror the marital lifestyle for a dependent spouse. Follow these tips to benefit the most from your alimony payments.

  • Have a financial plan. Once you know how much alimony you will receive, create a budget for your household. If you are also receiving child support, this will be part of your budget as well. Your goal is to create a spending plan that will allow you to live independently while you make strides to better your employment opportunities if you can. Living within your means is extremely important.
  • Do your research. Find out exactly what it will cost to go back to school or obtain the training you need. Learn what kind of entry level pay you can expect to earn in the position you are working towards.
  • Don’t view your alimony as a windfall. This is money you need to secure your future. You may only receive alimony for a specified time, so make the most of it while you receive it and do everything you can to make it an investment that will pay off.
  • Understand the tax consequences. Alimony is considered taxable income for the spouse who receives it. This could increase your tax payment for the year, so it is a good idea to talk to your tax preparer and understand what you will owe, and then save that portion specifically for your taxes, or increase your withholding on other income to compensate.
  • Have a Plan B. Talk to your divorce attorney to find out what to do if your ex ever misses a payment or is routinely late with payments. You may be able to have payments withheld from his or her pay and sent to you directly.

DeTorres & DeGeorge handles alimony and post-decree enforcement in New Jersey. Your future is our focus.

Financial Divorce Guide
About DeTorres and DeGeorge Family Law

DeTorres and DeGeorge Family Law is a New Jersey based family law firm that has been helping New Jersey residents achieve the best possible results in their divorce for nearly 30 years. The DeTorres and DeGeorge Family Law team is always ready to fight for their clients’ rights – determined to help New Jersey families overcome legal challenges from start to finish. Our legal team, with over 65 years of combined experience, provides expert guidance on all family law and divorce-related matters, including custody and parenting time, alimony and child support, equitable distribution of assets, premarital agreements, post-divorce issues, executive compensation distribution, divorces for business owners, and divorce mediation. The firm has been recognized for its dedication and expertise in the industry by multiple local and national organizations, including Super Lawyers, Law Firm 500, and the American Institute of Family Law Attorneys. Rosanne DeTorres, Managing Partner, is one of 150 lawyers certified as a matrimonial law attorney.

Erin D. DeGeorge
Erin D. DeGeorge joined DeTorres & DeGeorge, LLC as partner to the firm in June of 2010. Prior to joining DeTorres & DeGeorge, Erin was associated with the national firm of Fox Rothschild LLP and Cutler, Simeone, Townsend, Tomaio & Newmark, LLC...
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