When a couple divorces, each spouse’s needs and respective abilities to meet those needs can differ dramatically. If one spouse earns a substantially higher income than the other, the court might order them to make alimony payments to help the other spouse cover expenses and maintain their usual standard of living.
In this South Carolina alimony guide, the family attorneys of McKinney, Tucker & Lemel LLC discuss the nuances of alimony in South Carolina and how an alimony order could affect your divorce case. Continue reading or contact us for an initial consultation to learn more.
What Is Alimony?
In a South Carolina divorce, alimony is financial support paid by one spouse to assist the other. These payments may be temporary or permanent, depending on the situation.
Courts, rather than the formerly married spouses, typically calculate and order alimony payments. Individual judges tend to have significant leeway in determining how much alimony is fair for a given case.
Alimony is not awarded automatically in every South Carolina divorce. Judges are more likely to award alimony in divorces involving spouses with unequal earning potential and a long marital history. Divorces of long-married spouses with wildly uneven earning capacities tend to result in larger alimony payments over a longer period.
How Is Alimony Granted?
When a judge decides to award alimony in a South Carolina divorce, they may order the higher-earning spouse to make a lump-sum payment, a transfer of property, or a series of periodic monthly payments.
Periodic alimony awards, typically consisting of monthly payments made by one spouse to the other, are especially common. Courts often schedule these periodic awards to terminate on a certain date or when specific criteria are met. The amount of periodic alimony awarded may also be modified when individual circumstances change.
Lump-sum and property-transfer alimony awards, on the other hand, typically can’t be modified once completed. When one spouse surrenders property or makes a large, lump-sum payment to the other, it’s usually impossible to change or reverse it.
What Is Considered When Calculating Alimony?
When South Carolina judges determine whether alimony is appropriate, how much should be paid, and how long payments should continue, they consider the following factors:
- How long the marriage lasted
- Marital misconduct of either spouse
- Each spouse’s age at the time of marriage
- Each spouse’s age when they file for divorce
- Each spouse’s physical, emotional, and mental condition
- Each spouse’s ability to support themselves independently
- Each spouse’s educational history, employment history, and earning potential
- The standard of living each spouse enjoyed during the marriage
- The expected needs and living expenses of each spouse
- Any marital or nonmarital property awarded to either spouse
- Each parent’s custodial obligations to dependent children
- The tax consequences of alimony payments for each spouse
How Long Must Alimony Be Paid?
The length of time alimony must be paid by one spouse to the other depends on the type of alimony award the court orders. Examples include:
- Alimony pendente lite – Pendente lite or “pending litigation” alimony is a temporary type of alimony awarded during divorce proceedings. This type of alimony ends when the divorce is finalized.
- Periodic alimony – Periodic alimony is typically paid monthly and is often designed to last only until the supported spouse becomes financially independent.
- Lump-sum alimony – Lump-sum payments are usually made either all at once or in installments over a relatively short period.
- Rehabilitative alimony – Rehabilitative alimony is designed to support the dependent spouse until they acquire the education or training necessary to find gainful employment.
- Reimbursement alimony – Reimbursement alimony is meant to repay one spouse for the time, money, or effort they spent to allow the other spouse to pursue a career or education. This could be a one-time payment or a series of installments over time.
What Happens If Alimony Isn’t Paid?
Spouses who refuse or fail to make court-ordered alimony payments in South Carolina are considered “in default” and may face severe legal and financial consequences. When a judge learns a spouse has ignored an alimony order, they can enter a judgment that establishes how much the spouse owes and authorizes the court to collect payment by:
- Withholding money directly from the spouse’s paycheck
- Placing a lien on the spouse’s property or financial accounts
- Suspending the spouse’s driver’s license
- Reporting the spouse’s default to credit agencies
Judges may also hold non-compliant spouses in contempt of court for willful violation of a court order. Contempt-of-court charges can result in hefty fines and even imprisonment.
How Are Alimony Payments Taxed?
In the past, spouses paying alimony could deduct alimony payments from their taxes, and supported spouses had to include alimony as part of their taxable income. However, as of December 31, 2018, new tax rules changed tax implications for spouses on both sides of an alimony agreement.
For any divorce executed after December 31, 2018, alimony payments are no longer considered tax-deductible for the payer and no longer need to be included in the receiving spouse’s taxable income. Because of these changes, courts now consider tax implications when determining alimony awards.
Can Alimony Be Changed?
Most family courts in South Carolina allow alimony awards to be modified when either spouse has a significant change of circumstances, such as:
- Involuntary job loss or income reduction
- Diagnosis of an injury, illness, or other condition that limits working ability
- A loss of any assets or significant increase in debt
- Retirement or business failure
- The supported spouse’s new marriage or cohabitation
- The supported spouse’s new gainful employment or income increase
- The supported spouse’s inheritance of money or assets
Get Help from a South Carolina Divorce Lawyer Now
If you need help protecting your rights in a South Carolina divorce case or understanding how alimony in South Carolina works, look no further than the divorce attorneys of McKinney, Tucker & Lemel LLC. We can explain your options and develop a tailored plan that meets your unique needs.
Contact us today to learn more in an initial case review.