Post-Divorce Alimony in Texas

This article provides a brief overview on Texas lawsettlement tool. Since alimony is generally taxable to
concerning post-divorce alimony in Texas. Laws differthe receiving party and deductible to the paying party it
from state to state and individual circumstances vary,can be often structured so that it is advantageous to
so you should consult with a qualified family lawboth parties.For example, a party in a high tax bracket
attorney in your area for specific advice on yourcan agree to make monthly alimony payments in
particular situation. Additionally, this article deals onlyexchange for a more favorable property division. If the
with post-divorce alimony. It does not addressreceiving party is in a lower tax bracket, the overall
temporary alimony, which is provided for under aincome tax paid could be significantly lower than what
different provision of the Texas Family Code.it would be otherwise. Another factor to consider is
Two Kinds of Alimony: Contractual and Courthow rarely Texas trial courts order maintenance,
Ordered maintenanceThere are two kinds ofabsent an agreement. The statute allows for
post-divorce alimony in Texas: contractual alimony andmaintenance only when the specific statutory
court ordered maintenance. The Texas Family Codecircumstances have been proven. There are several
also provides authority for the court to orderappellate cases that have reversed trial court
temporary alimony which occurs while a divorce isdecisions ordering maintenance when the requesting
pending. However, temporary alimony is outside theparty did not provide sufficient proof that the standard
scope of this article and will not behad been met. In cases where there is a large amount
addressed.Contractual AlimonyContractual alimony isof community property, one of the most effective
based on an agreement between the parties in theirarguments in attempting to defeat a maintenance
divorce decree. For tax purposes, contractual alimonyclaim is that the requesting party will have ample
is normally deemed income to the receiving party andresources to provide for their needs since the party
is deductible from the income of the paying party.will receive a significant amount of assets from the
Since contractual alimony must be based on andivision of property.Another common argument used
agreement of the parties, there are no limits to theto defeat a maintenance claim is that, during the
possible amount or duration of the alimony. Courtpendency of the divorce, the requesting party has not
Ordered Maintenance Court ordered maintenance ismade significant attempts to either obtain employment
provided for by Texas Family Code Chapter Eight.or obtain training that would allow the party to obtain
Although actually awarded in only a small percentageemployment. As an example, lets take a divorce case
of Texas divorces, the court has the right to order onewhere the wife is requesting maintenance on the
spouse to pay the other post-divorce maintenance ingrounds that the marriage is longer than ten years and
either of two circumstances:1. The payor spouse eitherthat she lacks the earning ability to meet her minimum
received deferred adjudication or was convicted of areasonable needs. If the case has been pending for
crime constituting family violence within two years ofseveral months and at the time of
the filing of the divorce case, or2. The parties havetrial she has still made no effort to obtain employment
been married at least ten years and the receivingor improve her job skills, it will be a difficult claim to
spouse has some kind of financial limitation (disability,succeed upon. The court is unlikely to find that she is
unable to work because caring for the party's child, or"unable" to meet her reasonable minimum needs and
lacks earning ability to meet minimum reasonablemore likely to believe that she is unwilling to take the
needs).The monthly amount of court orderednecessary steps in order to provide for her own
maintenance is capped at the lesser of: a) $2,500 or b)support.ConclusionAlimony in Texas, while rarely
20% of the monthly payor's gross income.Theordered, is an important and complicated issue. It can
maximum duration of court ordered maintenance isbe used as an effective settlement tool and can
three years. The only exception is when maintenancepotentially be a significant trial issue. For someone
is ordered as the result of a disability, in which case theinvolved in a Texas divorce case with a potential
duration can potentially extend indefinitely.alimony issue, the issue should be discussed in detail
ConsiderationsWhere there is a large disparity inwith an experienced divorce lawyer.
incomes alimony can sometimes be used as a useful