Navigating the Waves of Change: Florida Alimony Reform in 2023 and its Impact on Your Future

You may be tired of receiving child support or alimony payments late or not at all, and you would like to be paid directly from the employer of your ex-spouse or child’s father/mother.  Florida Statutes 61.1301 provides that an income withholding order (IWO) can be entered once there is an order of alimony or child support by the court.  The IWO must be issued by separate order.

Get Help Filling Your Income Withholding For Support Form (IWO)

There is a federally approved and required IWO that allows you to garnish income for child support and alimony.  See 42 U.S.C. 666, Social Security Act.  Child support arrearages can be withheld also, and the employer/income withholder is given instructions on how much to withhold until full payment is made.

There are very clear rules about the IWO, and an IWO may be rejected, and payment delayed if not completed properly.  An IWO will be rejected if the form does not contain all the necessary information.  In addition, the correct form must be used, or it will be rejected.

In Florida, you must also submit the Florida Addendum form to the court for signature with the IWO.  The Florida Addendum must be used when child support for multiple children has been ordered.  The Florida Addendum must be attached because the IWO form does not contain information that is statutorily required in Florida to be included in all withholding orders.  Because the IWO cannot be altered, the Florida Addendum was created and is used in conjunction with the IWO.

Income Withholding Orders can be complex and difficult to complete properly.  You need an experienced Jacksonville family law attorney to assist you with garnishing wages for child support and alimony payments.

Call Jacksonville Divorce Attorney Wendy Norman today to request a consultation: 904.306.9926

One of the changes to the law made by the Tax Cuts and Jobs Act is the elimination of the tax effects of alimony payments as of January 1, 2019. Prior to January 1, 2019, in most cases, alimony is a tax deduction for the payor and is taxable income of the recipient. As of January 1, 2019, however, alimony payments are not deductible by the payor and are not included as income by the recipient. This change is expected to reduce the amount of alimony payments, because it is will reduce the cash flow of both the payor and the recipient. It may also impact child support, which is determined in large part based on the incomes of the parties.

Major Change to Alimony Tax Deduction for 2019

This law will not impact alimony awards in judgments and orders entered prior up to and including December 31, 2018, and the law cannot be used as a basis to modify prior alimony awards. Modifications of awards entered prior to January 1, 2019 will be determined based on the law in effect at the time of the entry of the judgment/order unless the judgment or order specifically states that future modifications of alimony are subject to the tax law at the time the judgment/order was entered.

One thing that is not clear is the impact this law will have on divorces filed on or after January 1, 2019 which involve prenuptial (or postnuptial) agreements entered into prior to January 1, 2019.

For questions related to other Alimony and Spousal Support issues, please contact the divorce law office of Wendy Norman at (904) 306-9926 to schedule a consultation.

Alimony reform is again on the Governor’s desk in Florida. The bill made it out of the legislature and was sent to Governor Scott on Monday, April 4, 2016. The Governor has until April 19 to sign or veto the bill. This is the latest round in the attempt to change the alimony law in Florida.

The Arguments

Many are in support of the alimony law already in place in Florida. Those who receive alimony, such as those who have never had a career due to having to raise children or keep the home, believe the alimony law should not be changed. On the other hand, those who are paying alimony commonly feel they are being taken advantage of and should not have to financially support a former spouse for many years after the divorce. No matter what the other spouse may have done during their marriage, many alimony paying spouses feel that the alimony law forces them to pay too much money to the other party, and for too long.

The New Proposition

The legislation that is being considered by the Governor, if it becomes law, will significantly change the way alimony is determine in Florida. These new changes include:

• Judges will have guidelines to calculate the amount of alimony payments
• The length of time alimony will be paid will also be based on guideline calculations
• There will no longer be ‘lifetime’ alimony payments
• There will be new circumstances that will be considered to modify or terminate alimony payments
• There will be no guidelines for marriages that lasted more than 20 years, and judges are encouraged to equalize the incomes of the parties
• The bill also will include the premise that the parents should have 50-50 custody or time-sharing with their children

The new alimony provisions, if passed, will apply to all initial alimony determination cases and all alimony modification cases pending on or after October 1, 2016. However, the new provisions regarding modification of an existing alimony obligation would apply to all cases. The new 50-50 time-sharing premise would apply only to initial divorce or time-sharing cases filed on or after October 1, 2016.
Even if the proposed bill does not become law, the alimony reform effort in Florida will continue in the future. Many officials within Florida are stating that this new bill simply gives judges guidelines to determine the amount of alimony and how long it will be paid, and is fair to both parties. These people feel that the judges have too much discretion and power, and the decisions are not consistent, and vary from one divorce to the next.

The Family Law Section of the Florida Bar has come out publicly against this bill, primarily because it includes the 50-50 time-sharing premise. The Governor can sign the bill into law or veto it (as he did to the prior alimony reform bill in 2013).

Here at Norman Law, we are ready to take on these new aspects of divorce and alimony, and work for you. If you need help with a divorce, alimony, child support or any other family law issue, contact us today to get started!

Divorces can be very rough, and with Florida’s Mandatory (Financial) Disclosure rule, it can become even harder when there are things that parties are not interested in disclosing.

In this blog post, we will briefly cover how important the disclosure of financial records is in a divorce. It is vital that you provide the required financial documents when working with your divorce attorney throughout the proceedings. In order to provide you with the best advice, your divorce attorney must know everything about your marriage. This includes your finances, both separate from and together with your spouse. Of course you’ll also discuss other reasons (likely more obvious disclosures) the divorce may be taking place, and all issues that need to be addressed. The financial disclosure allows your attorney to review and analyze documents that provide more insight and gives your attorney a better understanding of your entire divorce case.

When Mandatory Disclosure is Not Needed?

In some cases, Mandatory Disclosure is not needed during a divorce. This is only applicable when the case is not being litigated in court and both parties are in agreement with the divorce (considered an Uncontested Divorce). However, even though the financial disclosures can be waived or otherwise not required, both parties must still fill out and file a Financial Affidavit that discloses detailed financial information. Under no circumstances can the Financial Affidavits be waived for a divorce proceeding, even when both parties are on board with filing for a divorce.

Florida Family Law Rules of Procedure

Mandatory Disclosure is found under the Florida Family Law Rules of Procedure. This Rule lists sixteen types of financial documents that must be provided and exchanged by both parties.
These include:

· Bank account statements
· Tax returns
· Pay stubs
· Pension plan statement
· Assets
· Debts

And the list continues. When a person first files a divorce case, he or she has have 45 days to provide the other party with the required financial information. The other party must also provide the required financial information within a specified time period. Parties can ask for an extension if needed. In most cases, if the person has a legitimate reason for the delay, an extension will be granted by the court.

The Reasoning Behind Mandatory Disclosure

Aside from helping your lawyer to better handle your case, providing the financial disclosure documents can lower the expense that is often associated with litigation. It also gives the court sufficient information to make a better informed financial decision for both parties. Though Mandatory Disclosure can seem rather invasive and gathering the documents may take some time, it is really in the best interest of both parties going through a divorce.

Wendy Norman works as a Divorce Attorney in Jacksonville, FL and welcomes comments or questions from readers. Please Contact Us online to setup an initial consultation or call 904.306.9926.

Within the state of Florida, there is a term called Equitable Distribution that is used in divorce proceedings. In short, Equitable Distribution means that possessions/assets and debts which came about during the marriage are divided as equally as possible between the parties getting a divorce. This can make it easier in one sense for a divorce; however, there are also problems that can arise.

In most cases, those who are going through a divorce are going to work with their lawyers in order to determine who gets what (distribution of assets and debts). In cases in which both parties want the same asset/assets or don’t want certain debt, it can come down to the judge making the decision as to who gets what.

Proven Adultery Can Impact Equitable Distribution

With this being said, many people wonder if infidelity can affect the equitable distribution of the marital assets and debts. Florida is considered a “no fault” divorce state. This means that people can get a divorce without proving why a divorce is needed or whose fault it is. In most cases, the person who wants the divorce simply states that the marriage is ‘irretrievably broken” and the divorce proceedings can continue. With this in place, and the equitable distribution rule, most parties believe that the marital assets and debts will be equally divided, no matter what. However, that is not always the case.

When one spouse does commit adultery, and it can be proven, it can affect the equitable distribution. When the adulterer in the relationship is using his or her money in order to buy their new boyfriend or girlfriend gifts, go on trips and the like, then this can be taken into consideration when dividing the assets and debts.

In some cases, if the financial actions of the cheating spouse affect the wife or husband, or children involved, then the court can give the adulterer less property and other assets, or make him or her responsible for more debt. The idea is that the adulterer has misused what should be marital funds and he or she should not be treated the same in the equitable distribution of the assets and debts because of his or her actions.

Alimony and Equitable Distribution

In addition, this type of situation can also affect whether one party receives alimony from the other or not even though Florida is a no-fault state. In most divorces, the equitable distribution goes through without a hitch, but it is important to note that in cases where adultery has affected the marital finances, it can become an issue during the divorce proceedings.

For those who are thinking about divorce and are concerned with Equitable Distribution, please contact us. Here at Norman Law, we are here for you and want to help you in any way we can with your divorce!

When a divorce is finalized, in the state of Florida, one spouse may begin receiving alimony as a means to ensure he or she is financially cared for after this life changing event. However, alimony can greatly affect you when it is time to file your tax return. This is something people may not think about during the divorce proceedings. Now that tax season is here, it is time to look at how alimony is going to affect the tax situation for both parties.

Both parties have to report alimony on their tax returns. The party who is paying alimony can report it as a tax deduction. The party receiving alimony must report it as additional taxable income. An example:

• A woman pays her ex-husband $1,000 every month for alimony. This results in her paying $12,000 per year. Her yearly income is a total of $70,000. After claiming the alimony as a deduction, her taxable income is reduced to $58,000.
•Meanwhile her ex-husband has a yearly income of $40,000. His taxable income will be $52,000 after he includes the alimony payments.

Tax Information Regarding Lump Sum Alimony Payments

The above example reflects a case in which alimony is being paid out over time. But, what about when alimony is paid as a one-time lump sum? Instead of paying alimony totaling $48,000 over the course of 4 years, instead a lump sum of $48,000 may be paid all at once. Generally, the same rules are going to apply. The person who pays the lump sum will claim it as a deduction and the person who receives it will report it as taxable income.

No matter what type of alimony a person receives, the addition and subtraction of income due to alimony results in one person lowering their taxable income and the other person increasing their taxable income. If you are the party receiving alimony, you may wind up getting taxed at a higher rate due to the addition of these funds into your total income.

The IRS Recapture Rule

This IRS rule is a way to ensure that one spouse is not trying to hide property settlements as alimony, because property settlements are not tax deductible. Also, the recapture rule ensures that alimony payments do not allow one party to get an improper tax break. This can be seen when one party tries to pay off their alimony obligation faster by paying more in one year than is required.
Here is how the rule works:

• There is a three-year review of these funds
• If the alimony paid Year 2 is more than $15,000 greater than what was paid in Year 3, then the ex-spouse who is paying the alimony will pay taxes on the amount that exceeds the $15,000 during Year 3.
• If the alimony paid in Year 1is at least $15,000 greater than what was paid in the Year 2 and Year 3, then the excess will be considered income for the spouse receiving the money.

There are exceptions to this rule that spouses need to be aware of, and this is where Wendy Norman can help. These exceptions can be highly case-specific, so in this case it is best to work with a Florida divorce attorney who has experience in these situations, as Wendy Norman does.

If you’re in the Jacksonville Florida area, feel free to reach out to our office to request a free consultation at: 904.306.9926.

Going through a divorce can be a difficult time in the life of both parties. Even though both may agree to the divorce, it is still a major change in your life. Along with no longer having that person in your life, you may also be faced with the issue of alimony. Alimony is paid to one spouse by the other spouse as a way to ensure that the party receiving the alimony is able to continue to have the type of life they are used to having. This is fairly common when one spouse was the one who worked outside the home, while the other stayed home for the children. There are several types of alimony and spousal support in Florida, all of which are geared to ensure fairness to both parties.

One of the most common questions asked when it comes to alimony is whether alimony is counted as income. The short answer to this question is yes, the alimony does need to be included in the income totals for the spouse who receives alimony. For the spouse who receives alimony, this is often going to allow him or her to file taxes in a higher income bracket than they would otherwise.

The Following Fiancial Factors Apply to Alimony:

· One party makes payments based on an agreement made between the parties
· Alimony payments are not combined with other payments like child support
· The agreement should dictate when the alimony payments end
· The parties must live apart
· A joint tax return cannot be filed by the parties
· Ensure that no extra alimony is being paid

If the payment is for the actual purpose of child support, part of a property settlement, to help keep up the property, or is purely voluntary, the payment is not a true alimony payment. In these situations, the money given is not really alimony, so it does not have to be considered as a part of the party’s income.

Avoid Confusion – Ask a Qualified Divorce Attorney

Alimony can be a tricky path to navigate without the proper help. There are several federal laws and regulations that are in place, meant to help ensure that alimony is paid to the spouse, and that this income is reported as it should be at the end of the year. Without help, many people become confused and this can lead to severe financial consequences.

For those who are located in Jacksonville, Florida, Wendy Norman is here for you. Whether you are the spouse who needs help with alimony payments or the spouse who wants to ensure alimony is being paid, give her a call. She has helped hundreds of others get their lives back in order after divorce, and she can help you as well.

Call 904.306.9926 For a Free Consultation Today!

Federal law now mandates that same-sex marriages have all the legal rights associated with heterosexual marriages, this raises the question of what rules and regulations apply in a divorce between same-sex marriage partners. Since gay marriage is a relatively new concept under the law, when a divorce happens between same-sex couples, the courts are dealing with this in the best way they know. Courts are trying to adapt the rules for heterosexual couples to same-sex couples.

Petition for Same-Sex Dissolution of Marriage

For those who are located in Florida seeking a divorce from their partner of the same sex, they must first file a petition in the jurisdiction in which they reside. In addition, one of the spouses has to have lived in Florida for a minimum of six months. Lastly, the party seeking the divorce needs to show that the marriage is broken or that one of the parties involved in the marriage is mentally incapacitated.

In cases in which neither party contests the divorce, the divorce can be granted quickly. In cases in which one of the spouses does contest the divorce, the judge may require that the couple go through counseling for a period of time to see if the marriage can be saved, order a psychiatric evaluation of one or both parties, or may take any other action the judge feels is appropriate.

Same-Sex Alimony and Child Support Laws Apply

When it comes to Alimony or Child Support, the same rules apply to both heterosexual and homosexual couples. However, the difficulty with proving how much alimony should be paid and for how long is usually based on the amount of time the couple has been married and the marital lifestyle. Since Florida just started to recognize same sex marriages, this may present a major issue. Especially if the couple were married in another state, years ago, before marriage became legal in Florida.

As you can see, there are some unique challenges that are going to be faced when dealing with divorce of gay couples. The law is going to change as more of these divorces take place in Florida, now that same-sex marriage has been legalized. This is why it is important to have a knowledgeable attorney representing you, one who is familiar with all of the new court policies and rules pertaining to same-sex divorce. Wendy Norman, located in Jacksonville, Florida, has had years of experience with divorce cases, and she can handle your same-sex divorce case in a way that ensures you are treated fairly.

Call (904) 306-9926 Today To Setup A Free Divorce Consultation in Jacksonville, FL.

This is a common question we’re asked. When a divorce happens, there are many cases in which one spouse has to pay alimony to the other spouse. In situations involving a child or children, one parent is often ordered by the court to pay child support, even in situations in which the parents may have not been married. The goal of alimony and child support is to ensure that the change in lifestyle brought about by the divorce does not negatively affect the quality of living of the spouse and/or children. Even with a court order requiring one party to alimony or child support, in many situations, an ex stops paying, leaving the other party and the children in a dire financial state situation.

Notify the Court of Unreceived Alimony or Child Support

What happens when you are not getting paid the alimony or child support that is owed to you? You first have to notify the court. This lets the court know the ex is no longer paying what was ordered by the court. Your lawyer can help to file the necessary paperwork that is needed.

Once the court gets this information, there are a couple of things the court can do:

1. The court may freeze the bank account of the person not paying and direct deposit what is owed and monthly amounts thereafter into the account of the other party
2. The court can deduct the person’s wages straight from their check and deposit this into the other party’s account
3. The court may order jail time in situations if it is clear that the ex is simply not paying, even though he/she does have the ability to pay

The court can also revoke a person’s driver’s license, hunting license or fishing license for not paying alimony or child support.

If you have an ex-spouse or partner who has stopped paying child support or alimony, the court can step in and take control of the case. You should not remain quiet and hope for the best. If your ex-spouse or partner is not paying now, and does not have a good reason for not paying, then chances are he or she is not going to pay in the future. Having a good lawyer on your side is the only way to approach these types of cases.

For those who are located in Jacksonville, Florida, Wendy Norman, is a family attorney working with all matters related to divorce, family, child support and alimony. She will work hard for you to ensure your case is handled properly and that you receive the support you deserve.

For a Free Consultation With a Jacksonville Divorce Attorney, Call Wendy Norman (904) 306-9926.