For many, struggling to make ends meet can be overwhelming and upsetting, but can be made even worse if you are ordered to pay alimony to a spouse during your divorce. Unfortunately, this can make your budget even tighter, placing you under more stress. However, if you come into a sudden influx of money, you may feel like a considerable weight has been lifted off your shoulders. It is important to understand how this unexpected financial windfall can impact your alimony payments. Luckily, the following blog and a Monroe, Louisiana alimony lawyer can help answer any questions regarding these complex matters.
What Is a Financial Windfall?
When you undergo a sudden increase in funds, whether you win the lottery, an investment pays off, you receive an inheritance, or receive a substantial promotion at work, this is referred to as a financial windfall. Generally, these funds range from thousands to millions of dollars. However, what is considered a windfall will generally depend on your financial circumstances. For example, a CEO receiving a $10,000 inheritance likely won’t make a difference, whereas those funds can help change the life of a struggling single mother.
It’s important to act accordingly when this occurs, as you may find that failure to handle these funds correctly can cause you to make errors, putting them at risk.
Will This Increase in Funds Affect My Alimony Payments?
If you are currently making alimony payments to your spouse, understanding how an influx of money can impact your payments is critical. Generally, simply coming into money while making alimony payments will not change your spousal support obligations. This is because your payments aren’t based solely on your income and go by the standard of marriage your spouse was used to during the marriage, among other factors.
However, if your ex-spouse discovers your sudden increase in wealth, they may ask for a modification. For this to be granted, they would need to prove to the courts that they need an increase in funds. This is because simply saying you have the funds to increase payments is not a valid reason to request a modification.
It’s also important to note that if your alimony agreement includes an escalator clause, meaning your spouse’s alimony will increase in the event your income does, this would be applied automatically depending on the language used in your divorce decree.
Do I Need a Lawyer?
If you come into a considerable amount of money, taking the time to protect yourself and your funds is critical. That’s why it’s in your best interest to connect with an experienced attorney from Breithaupt, DuBos, & Wolleson as soon as possible. We understand how overwhelming this process can be, which is why our team is dedicated to doing everything in our power to protect you. Contact us today to discuss your circumstances with a member of our dedicated legal team.
