Spousal Support Planning Checklist - Before Agreeing to Any Amount

Alimony is one of the most negotiable elements of a divorce and one of the most financially impactful. This checklist helps you prepare before agreeing to any amount or duration.

35 items across 6 categories

Income Documentation (Both Spouses)

  • Pay stubs for the last 3 months (both spouses)
  • Tax returns for the last 3 years (joint and individual)
  • W-2s and 1099s for all income sources
  • Business income statements if self-employed (P&L, Schedule C)
  • Investment income, rental income, dividends
  • Any bonuses, commissions, or irregular compensation

Standard of Living Analysis

  • Monthly household expenses during the marriage (utilities, food, transport)
  • Housing costs (mortgage or rent) post-separation for each spouse
  • Subscriptions, memberships, and lifestyle expenses
  • Vacation and entertainment budget during the marriage
  • Health insurance costs for both spouses post-divorce
  • Document the marital standard of living - courts use this as a benchmark

Earning Capacity Assessment

  • Current employment status and job title for each spouse
  • Years out of the workforce (if applicable) - affects earning capacity
  • Education and professional credentials
  • Job market research for the lower-earning spouse's field
  • Any career sacrifices made to support the other spouse's education or career
  • Health limitations that affect employability

Duration and Termination Analysis

  • Length of the marriage (key factor in most states)
  • Research your state's alimony duration guidelines
  • Check if your state has a statutory formula or leaves it to judicial discretion
  • Remarriage of the recipient terminates alimony in almost all states
  • Cohabitation of the recipient terminates or reduces alimony in many states
  • Model 3-year, 5-year, and 8-year scenarios in SettleLens

Tax Implications (Post-TCJA 2019)

  • Alimony is NOT deductible for the paying spouse (agreements after Dec 31, 2018)
  • Alimony is NOT taxable income for the receiving spouse (post-2018 agreements)
  • Pre-2019 agreements: old rules (deductible/includible) may still apply - verify
  • Factor the after-tax cost into your settlement modeling
  • Lump-sum alimony vs. monthly payments - different tax treatment in some states
  • Consult a CPA or tax attorney for your specific situation

Supporting Documents

  • Career progression records and pay history for both spouses
  • Records of any career interruptions (childcare, relocation for spouse's job)
  • Current job postings in your field (for earning capacity analysis)
  • Health records if disability or chronic illness is a factor
  • Records of contributions to the other spouse's education or career advancement

See the financial impact of your decisions

SettleLens models your settlement scenarios so you can negotiate with clarity.

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SettleLens provides financial scenario modeling for informational purposes only. Not legal advice. Always consult a qualified family law attorney before making settlement decisions.