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Financial Issues This forum is for discussing any of the financial issues involved in your divorce.

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Old 09-22-2016, 11:38 PM
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Default Spousal support/imputing income

I realize spousal support is negotiable, but in the scenario where a woman stayed home 6 years with kids and the man has a base wage of $150000/year would the man have to pay 40% of his wage to her for 6 years??
10 year long marriage 13 years cohabitation.

The scenario I offered her was mid-spousal based on an online calculator for 6 years. I imputed an income on her each year and went up each year.

Year 1 her income 0 mine 150k
year 2 her income 12000 mine 150k
year 3 her income 24000 mine 150k
year 4 her income 36000 mine 150k
year 5 her income 48000 mine 150k
year 6 her income 60000 mine 150k

Does anyone see anything wrong with this offer?
Am I really expected to pay the year 1 amount for 6 years?
The past couple years I've made a lot more (oilfield) but at this point the future isn't that bright so I feel it is a fair offer

Thanks for your help
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Old 09-23-2016, 12:05 AM
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I don't think there's much fair about SS at all, personally. But having it step down like you are describing gives good incentive for your ex to not just coast along on the SS, but to actually use the financial cushion to become self-supporting early on. Also, I would not base it overtly on imputing her an income like that. That sort of implies that SS could continue longer if she wasn't making $60k by the end of the duration. I would just start it at the right amount and lower it regularly and not mention any sort of income at her end.

But duration usually goes by half the length of the marriage if it was not super long, not by how long your ex stayed out of the workforce. I'd say five years max, which is plenty of time for someone to get a whole university degree and find a job in a new field. Does your ex already have a career that she interrupted, or would she have to start from scratch? Do you reasonably expect that she could be making $60k in five years?

I think imputing income is far more common when determining CS, not SS.
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Old 09-23-2016, 12:31 AM
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Quote:
Originally Posted by Rioe View Post
Does your ex already have a career that she interrupted, or would she have to start from scratch? Do you reasonably expect that she could be making $60k in five years?

I think imputing income is far more common when determining CS, not SS.
She used to work in the oilfield also where she made the $60k/year. She also is a rehab practioner but refuses to do that.
She recently started working with a local caterer and only makes about $18/hour with very few hours. I'm fine with that for now because our youngest is only 3, but once he is in school full time she can work more than that.

She took a bunch of life coaching and "holistic" type energy work courses lately that she thought would make her a multi millionaire but I think she is coming back to reality on that.
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Old 09-23-2016, 12:33 AM
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Quote:
Originally Posted by Rioe View Post
Also, I would not base it overtly on imputing her an income like that. That sort of implies that SS could continue longer if she wasn't making $60k by the end of the duration. I would just start it at the right amount and lower it regularly and not mention any sort of income at her end.
I absolutely won't sign it unless it has an end date. If she makes $60k in the first year and I still have to pay then so be it......but I'm not going on like this for 15 years like the guidelines suggest.
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Old 09-23-2016, 12:46 AM
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I believe you did it the correct way with imputing income to your ex. My SS agreement was similar in that my imputed income increased each year. From what I have read over the years judges favor this approach.

You may pay more at the start but you also are able to claim 100% of SS pd for taxes. Your ex, on the other hand, has to immediately put money aside to pay taxes on this non-earned income.

I believe that you should go to year 5 and then have SS end. Your marriage wasn't too long.

I can dig up the wording used in my SS and PM it to you if you'd like (not tonight though). It was a bit different as my ex was self-employed but generally it is a stepped-down SS plan.

Last edited by arabian; 09-23-2016 at 12:48 AM.
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Old 09-23-2016, 12:53 AM
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I can dig up the wording used in my SS and PM it to you if you'd like (not tonight though). It was a bit different as my ex was self-employed but generally it is a stepped-down SS plan.
I would appreciate that very much!
Thanks for all your help already! Arabian is a very solid member of this forum for anyone reading this
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