Alimony, spousal support and maintenance is intended to maintain the economic status of parties in the condition that existed during the marriage. There is no mathematical formula for alimony. Each allotment is decided on a case-by-case basis. Alimony is established by the discretion of the court, based on the need of one party and the requisite ability to pay by the other party.
While a divorce is taking place, it is possible that the court will establish an “interim” spousal support order intended to maintain the “status quo” until the case is resolved. Elements for determining spousal support include income, health, age, educational background, length of marriage, property value and conduct of parties. Property assessment considers the value of spouse’s estates and retirement benefits. Retirement benefits are governed by the following rules: the marriage must last longer than ten years, the spouse owning retirement benefits must have vested interest therein or be receiving them when divorce is filed, non-covered spouse cannot receive more than 50%, retirement benefits accruing before marriage occurred are excluded and non-covered spouse cannot receive covered payments until covered spouse begins receiving benefits or reaches age of 65 – whichever occurs first.
Alimony can be based on either a temporary or permanent basis. There are also two different types of alimony in Alabama called “alimony in gross” or “periodic alimony”. “Alimony in gross” is generally a “lump sum” compensating the wife for present value of inchoate marital rights (it can ignore value of wife’s separate property, is dischargeable in bankruptcy and considered as a nontaxable transaction). The “periodic alimony” extinguishes upon remarriage, includes value of wife’s separate property, is not dischargeable in bankruptcy and may be taxed.
Alimony ends upon a date set by both parties, when the payor dies or when the payee remarries.
