Divorce is a life-changing event, and one of the most pressing concerns for many individuals is financial stability after the marriage ends. In Tennessee, alimony—also known as spousal support—can be invaluable in helping a lower-earning spouse avoid drastic lifestyle changes and/or maintain their standard of living following the divorce.
However, understanding how alimony is calculated is not always straightforward, especially when emotions are running high. Unlike child support, which is calculated using a specific formula, alimony in Tennessee is determined on a case-by-case basis. Courts consider a variety of factors to ensure fairness and equity for both parties.
At Durak Law, our alimony lawyers are here to guide you through the process and help you navigate the complexities of Tennessee’s alimony laws. In this article, we’ll break down everything you need to know about alimony, including the types available, the factors courts consider, and how payments are determined.
What is Alimony?
Alimony is financial support paid by one partner to another after a legal separation or divorce. It is meant to help the lower-earning or non-earning spouse maintain financial stability and adjust to life after the marriage ends. Alimony is not automatic; it’s awarded based on the specific circumstances of the case.
In Tennessee, alimony is designed to address economic or lifestyle discrepancies between spouses. For example, if one spouse stayed home to raise children or support the other’s career, they may need financial assistance to transition into independence. Alimony ensures that each spouse can move on with dignity and security.
Types of Alimony in Tennessee
Tennessee recognizes several types of alimony, each serving a different purpose. The type awarded depends on the unique needs of the receiving spouse and the financial circumstances of both parties. Here’s a breakdown of the most common types:
Rehabilitative Alimony
This is short-term support intended to help the receiving spouse become self-sufficient. For example, if one spouse needs to go back to school or acquire new skills to reenter the workforce, rehabilitative alimony can provide financial assistance during that transition period.
Transitional Alimony
Transitional alimony is also temporary and is designed to help a spouse adjust to the financial realities of post-divorce life. This might include covering expenses like housing, transportation, or other costs associated with starting over.
Periodic Alimony (Alimony in Futuro)
This is long-term or even permanent support, typically awarded in cases involving lengthy marriages or when one spouse is unable to become self-sufficient due to age, health, or other factors. Payments are made regularly, such as monthly, and can continue until the receiving spouse remarries or either spouse passes away.
Lump-Sum Alimony (Alimony in Solido)
This is a one-time payment or a series of structured payments. It’s often used as part of property division and is not modifiable once awarded. This type of alimony is ideal for couples who want a clean break and prefer to avoid ongoing financial ties.
Factors Courts Consider When Calculating Alimony in Tennessee
Courts have broad discretion when determining alimony in Tennessee, and they evaluate a wide range of factors to ensure fairness. Here are the key considerations:
Length of the Marriage
Longer marriages often result in higher or longer-duration alimony awards. This is because the financial interdependence between spouses tends to be greater in long-term marriages.
Financial Resources of Each Spouse
Courts evaluate the income, assets, and financial needs of both parties. This includes assessing earning potential, savings, investments, and any other sources of income.
Earning Capacity and Employment Status
If one spouse has been out of the workforce for an extended period, courts will consider their ability to become self-sufficient. This might include looking at their education, skills, and job market opportunities.
Standard of Living During Marriage
Tennessee courts usually want to minimize drastic lifestyle changes post-divorce. The goal is to allow both spouses to maintain a standard of living similar to what they enjoyed during the marriage, to the extent possible.
Age and Health of Both Parties
Older spouses or those with health issues may receive more support, especially if their ability to earn a living is limited.
Contributions to the Marriage
Courts recognize non-financial contributions, such as homemaking, child-rearing, and supporting the other spouse’s career. These contributions are factored into alimony decisions.
Fault or Misconduct
In some cases, marital misconduct—such as adultery or abuse—can impact alimony awards. However, Tennessee courts focus primarily on financial need and the ability to pay.
How Alimony Payments Are Determined
Unlike child support, there’s no fixed formula used to calculate alimony in Tennessee. Instead, judges use their prudence to decide the duration and amount of payments based on the factors outlined above. Here’s how the process typically works:
No Fixed Formula
Because every case is unique, courts avoid a one-size-fits-all approach. Instead, they tailor alimony awards to the specific needs and circumstances of the parties involved.
Use of Financial Experts
In complex cases, forensic accountants or financial advisors may be brought in to assess the financial needs of the receiving spouse and the paying spouse’s ability to meet those needs.
Negotiated vs. Court-Ordered Alimony
Some couples can reach an agreement on alimony outside of court, often through mediation or collaborative divorce. If an agreement can’t be reached, the court will decide for them.
Modifying or Terminating Alimony in Tennessee
Alimony arrangements are not always set in stone. Life circumstances can change, and Tennessee law allows for modifications or termination of alimony under certain conditions.
When Can Alimony Be Modified?
Sometimes, situations arise in life and it could affect the previous alimony agreement, such as:
- A significant change in financial circumstances, such as job loss or a substantial increase in income.
- Remarriage or cohabitation of the receiving spouse.
- Retirement of the paying spouse, if it impacts their ability to pay.
How to Request a Modification
To modify alimony, you’ll need to file a petition with the court and provide evidence of the changed circumstances. It’s important to work with an experienced attorney to ensure your case is presented effectively.
Tax and Legal Implications of Alimony in Tennessee
You might also be wondering about the tax and legal implications of alimony, as they can significantly impact your financial situation.
Taxation Rules
As of 2019, alimony is no longer tax-deductible for the payer or taxable income for the recipient under federal law. This change applies to divorce agreements finalized after December 31, 2018.
Impact on Other Financial Obligations
Alimony is separate from child support and property division, but it can influence overall financial planning. For example, a higher alimony award might reduce the amount of property or assets awarded to the receiving spouse.
Talk to a Family Law Attorney About Alimony in Tennessee
Marriage shouldn’t be a financial burden—it should be a means of stability and support. That’s why Tennessee law awards alimony in qualifying divorce cases. These payments help ensure that neither spouse is unfairly advantaged or disadvantaged when a marriage ends.
If you have questions about how alimony works in Tennessee and how it may apply to your situation, we’re here to help. Call Durak Law at (615) 812-2829 or contact us online to discuss your case and we’ll help you find the best path forward.
