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  • Spousal support of investment income

    Tough to get a clear idea on whether payor income should include investment income they currently receive. Does anyone have experience on the issue? They have been married 50 years. The payor is in retirement, receives no pension, but has a large investment income from the stock market.

    Should the payee be entitled to ongoing support arising from a split on the investment income? Of course the issue is that the income is subject to market conditions so I can see the argument, but both have enjoyed a lifesyle based on that income.

    Advice is appreciated.
    Thanks.

  • #2
    I'm totally guessing here, to the point where I'm not sure I should be posting, but wouldn't these investments be considered assets, and get divided up during equalization? Then her income from them and his income from them would be separate and belong to each of them, and presumably be relatively close if the assets were divided equally. So there would be no need for spousal support at all, because their incomes would be approximately equal already.

    I could be entirely wrong.

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    • #3
      Yes you make sense, and that is consdered. However when equalizing assets, the home has stayed with the payee. This creates a large difference in the investment equalization. Essentially, the home does not create income.

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      • #4
        The other thing that comes to mind is that, unlike CS which is adjusted year to year to reflect changes in income, SS is based on circumstances that existed prior to the breakdown of the relationship and therefore investment income earned after the split is irrelevant.

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