Spousal Support in Michigan

In marriage, the lives of two people are often significantly financially interconnected. All families have a standard of living they have adhered to throughout the duration of their marriage. When a family is divided in divorce, financials are of course separated as well. Without spousal support, it would not be uncommon for a spouse who was more financially dependent on another throughout a marriage, especially a long-term marriage, to have to change their lifestyle considerably post-divorce. The goal of spousal support is to mitigate the need for a spouse to completely change the lifestyle to which they became accustomed during the marriage, within reason.

Calculations:

In Michigan, there is not a specific formula used to calculate spousal support, and the court holds a lot of discretion as to awards of spousal support. The court has discretion as to whether support is ordered, how much support is to be paid, and how long a party is entitled to receive spousal support. Michigan statutes and case law provide judges, parties, and attorneys with the framework for determining spousal support. Judges will consider 14 factors when there is a request for spousal support. The need for, amount, and duration of spousal support will be determined by evaluating each of the factors. Factors to be considered by the court are:

• Status quo/conduct during the marriage
• Ability of each party to work (considering age, health)
• Length of the parties’ marriage
• Ability of the party that would be paying support to actually pay and still meet their own needs
• Situation of each of the parties at the time of the divorce/request for support
• The needs of each party
• Standard of living during the marriage
• The parties’ financial obligations to others
• Contribution to the marital estate
• Fault and cohabitation and how it affects the financial circumstances of each party

The final factor is “general principles of equity.”

Loutts v Loutts, 298 Mich App 21, 826 NW2d 152 (2012) (quoting Myland v Myland, 290 Mich App 691, 695, 804 NW2d 124 (2010), quoting Olson v Olson, 256 Mich App 619, 631, 671 NW2d 64 (2003)). In compliance with MCL 552.23, the court will always consider the amount of property awarded to a spouse in a divorce when there is a request for spousal support. Should the court find a spouse has adequate assets to meet their needs without an ongoing payment from the other, it is unlikely for spousal support to be awarded.

How long will I receive spousal support?

Spousal support can be ordered for any length of time. Keeping the goal above in mind, a judge can order spousal support be paid for a limited time to allow the recipient spouse to get their affairs in order following a divorce. This could include finding suitable housing, obtaining employment if they had been unemployed or underemployed during the marriage, allowing the recipient spouse to complete training or education started during the marriage, and numerous other reasons. In other cases, specifically upon dissolution of a long marriage, spousal support could be ordered indefinitely.

How will spousal support be paid?

Friend of the Court will enforce spousal support obligations unless the parties agree to opt out from services. Spousal support payments can be withheld from the paying party’s income. If the parties opt out of spousal support services through Friend of the Court, the parties may agree to make direct payments between each other.

Is spousal support taxable?

Following the 2017 Tax Cuts and Jobs Act, spousal support is no longer taxable to the recipient nor is it tax-deductible to the individual paying support, so long as the order was entered December 31, 2018, or later.

Is spousal support modifiable?

An order for spousal support is generally modifiable upon a party filing a Petition to Modify and alleging a change in circumstances. There are various circumstances that could result in a modification to or termination of spousal support. If you seek to modify or terminate your spousal support obligation or are the party receiving spousal support and are seeking an increase, it is crucial to speak with an attorney and file your Petition as soon as possible to preserve any claim to retroactive modification.

Spousal support needs to be considered in any divorce action. Because of the multi-factor analysis and the intricacies of determining each party’s income, it is important to discuss your request for spousal support or the other party’s demand for you to pay spousal support with a family law attorney. Contact McKinney Vos today for a free consultation and to discuss your options as to spousal support.