Can Inflation Affect My Alimony?
These days, conversations around America’s economy have largely revolved around one topic: Inflation. The rising cost of living is affecting many American families – including couples who are approaching divorce. In fact, financial pressures such as these often cause divorces – sparking arguments over money that spiral out of control. Whether you’re a high-net worth individual or you’re struggling to make ends meet, it makes sense to think about how inflation might affect aspects of your divorce – including alimony.
Why Inflation Shouldn’t Be a Concern for Spousal Support in Most Cases
First of all, you should know that short-term “rehabilitative” alimony is now the new norm in Florida. Governor DeSantis has made this very clear, and he recently passed legislation that effectively banned permanent alimony. In other words, you likely stand to receive only a few years of alimony if you’re eligible for spousal support. While inflation may slightly diminish your total alimony over this short period, it is not really worth worrying about.
The rule of thumb in alimony cases is that spousal support lasts roughly half of the marriage length. The average divorce occurs about eight years after the marriage begins. This means that at the very most, spouses receive about four years of spousal support for the average marriage – probably less due to Florida’s new stance on alimony. Sure – there’s always the possibility that inflation could spiral wildly out of control (just Google Weimar Republic for a quick example). But for the most part, you can rest easy knowing that inflation will not affect your alimony to any serious degree. This is especially true if you work with a qualified attorney who can negotiate for a fair alimony settlement on your behalf.
With all that being said, there are some situations in which inflation could in fact have a serious effect on your alimony. While this has become quite rare, it is technically still possible for alimony to last numerous decades in Florida. This is especially true if the receiving spouse has reached retirement age and is no longer able to work. Alimony may also continue for a long period if the receiving spouse is disabled. In addition, a marriage that has lasted over 20 years could result in alimony that may be affected by inflation.
In this situation, you might want to explore something called a “Cost of Living Adjustment” clause – otherwise known simply as a “COLA” clause. As the name suggests, this clause allows you to adjust your alimony based on the rising cost of living should the need arise. The details of your COLA clause can be worked out by your attorney during your negotiations for a divorce settlement.
Where Can I Find a Qualified, Experienced Divorce Attorney in Orlando?
Orlando divorce lawyer Steve Marsee, P.A. is standing by to assist you with any alimony-related issue you might be dealing with. We have been helping divorcing spouses area for years, and we know that inflation is on everyone’s minds right now. With our help, you can take the necessary steps to ensure your financial security and pursue a positive outcome. Book your consultation now to get started with an effective action plan.