As we discussed in our previous posts, there are 4 types of spousal support or alimony here in New Jersey:

1. Permanent
2. Limited Duration
3. Rehabilitative
4. Reimbursement

Today we’re going to learn more about what this NJ mediator feels is the most underused type of alimony: rehabilitative.

Typically couples who engage in divorce mediation think that spousal support comes in only one flavor and that’s the typical “check in the mail” in which one spouse pays the other spouse and set monthly amount for a pre-determined period of time until one of the parties encounters a “significant change in circumstances.”  As an Accredited Professional NJ Divorce Mediator with an MBA in finance, I try to help parties expand their options by presenting to them alternatives which they might not have previously considered and rehabilitative alimony is a perfect example of that.

Rehabilitative spousal support simply put is monies paid from one party to the other for the express purpose of assisting the receiving party better their own circumstances through education or job training.  The theory being that is two parties have a wide gap in their incomes and earning potential, that gap can be reduced by bringing the lagging party up to speed through additional training or education.  In these cases, rehabilitative spousal support is paid in addition to permanent or limited duration alimony.  Why is this you ask?  The idea behind rehabilitative alimony is so that an individual can get job training and better their future financial circumstances but they still have to pay their bills while they attend classes so the rehabilitative spousal support is paid in addition to permanent or limited duration alimony.  And while most parties are reluctant to pay any kind of spousal support, let alone two different types of alimony but let’s take a closer look as to why this NJ mediator thinks it can work in certain situations.

A NJ couple has been married 23 years with 2 children and husband has stayed home since day one with the kids.  Wife is 45 and a CFO earning $250,000 and husband is 45 and used to be a computer programmer doing work in C++.  Now the demand for C++ programmers is quite low therefore the husband’s job prospects are quite low.  Since this a long term marriage, we’re looking at permanent spousal support in which the parties have negotiated the duration to be 20 years.  The wife thinks 20 years is quite a long time to be paying alimony so instead she offers 8 years of regular spousal support and 4 years of rehabilitative alimony in which she will pay for her ex-husband to attend a four-year university to get a degree in nursing and a few more years to help him get on his feet.  He improves his earning potential significantly as nurses are in high demand, she reduces her duration of alimony which as a CFO she feels is a good deal and everyone is happy.  As there are no formulas to calculate spousal support, as long as the parties think this is a good idea, then it works.

By working with a Accredited Professional NJ Divorce Mediator such as myself, I’ll help you and your spouse expand your options and help work together to come to an agreement that works in your particular situation.  My name is Joseph Dillon and if I can be of any help to you and your spouse, please feel free to call me at (908) 864-2177 or e-mail me and I’d happy to sit down with you and your spouse for a consultation in one of our many Central and Northern New Jersey office locations.

In the last post on the Equitable Mediation Services blog, we discussed the four types of spousal support (formerly known as alimony) and how since there is no formula for calculating spousal support, it’s best to work with a divorce mediator in New Jersey who can help you and your spouse determine what a fair and equitable amount of alimony would be.

As a refresher, in NJ, the 4 types of spousal support are:

1. Permanent
2. Limited Duration
3. Rehabilitative
4. Reimbursement

In today’s post, we’re going to focus on limited duration alimony as like with permanent spousal support, the length of your marriage is a factor when deciding if alimony is going to be limited in duration.  Limited duration spousal support is usually reserved for marriages lasting 10 years or less and like all other types of alimony, there is no formula for calculating it so mediators use a number of data points to help couples with the discussion of what might be appropriate in their particular cases.

Now there is much debate in mediation circles what an appropriate duration alimony should be in these types of cases, but as a general rule (remember – this is a blog and is not intended to give legal advice as these are just the experiences of a single NJ divorce mediator) generally, limited duration spousal support for short term marriages lasts 1/2 to one year for each year the couple was married.  Is this always the case?  Absolutely not. Much like with permanent alimony, the incomes of the parties, their ability to work, education level and a host of other intangible factors come in to play when determining an appropriate amount of spousal support.  That why it’s always best to work divorce mediator in New Jersey who can help you work together to come to what you both feel is a fair and equitable amount as remember – there is no formula.

For limited duration spousal support, much like with permanent alimony, the thought is you both contributed to the marriage equally, even if one of you contributed financially and one of you contributed in non-financial ways.  Especially if you have children together, it doesn’t do either of you any good if one of you is living well and one of you is destitute.   Whether you agree with the spousal support laws or not, they are intended to help both parties for a certain period of time after they are divorced, have a chance at a similar lifestyle, even if that lifestyle is lower than the one they enjoyed together as a married couple.  Then after alimony has ended, it is up to each of the parties to continue to work on developing their post-marital lifestyle which is something we stress in divorce mediation as like the old saying goes “I could get hit by a bus tomorrow” so it’s always best to make every attempt to be self-sustaining.

Should you have any questions about spousal support in your particular case, please feel free to contact me, NJ divorce mediator Joseph Dillon at (908) 864-2177 or via e-mail and I’d be happy to meet with you and your spouse to help you determine what an appropriate amount of alimony might be in your particular case.

One of the most challenging aspects of any divorce in New Jersey is the calculation of spousal support (also known as alimony) as there is no formula but rather a series of 13 (and in the opinion of this NJ mediator vague) “statutory factors” that are intended to guide the parties.  In NJ, the 4 types of spousal support are:

1. Permanent
2. Limited Duration
3. Rehabilitative
4. Reimbursement

In today’s post, we’re going to focus on permanent alimony.

When one thinks of spousal support the idea of one party writing a check comes to mind and with permanent alimony, that’s usually the case.  But what makes this type of spousal support unique is length of marriage is a primary factor in its determination and how long one would pay alimony (also known as duration in NJ divorce mediation parlance) is permanent.  Does this mean the party paying the spousal support will pay until they die?  Maybe, maybe not…  Like most conversations on alimony, “it depends” and that’s why divorce mediation is an excellent place to discuss this issue.

Permanent spousal support is usually awarded in marriages deemed “long term” which usually means lasting 11 to 15 years or more.  And while this does not always guarantee permanent alimony, length is usually one of the factors in its calculation.  Notice I keep saying “usually” since there is no formula for calculating spousal support so again, that’s why it’s best to work it out using divorce mediation.  Permanent spousal support continues until one of the parties experiences “a significant change in financial circumstances” which may include retirement by the paying party as well as re-marriage by the receiving party.  In both of these cases, the support may be modified or terminated completely depending on the agreement made during divorce mediation.

Another factor in permanent alimony is the earnings of each party.  If one party earns $100,000 and the other works part time, chances are the second party will be unable to earn the same as the first so spousal support will be used to help with the difference.  As a NJ mediator I see this in two scenarios.  First the parties have different levels of education and different earning potential.  Second (and more common these days) one party has worked outside the home and one party has worked inside the home raising the couples children.  Even though both parties may be equally educated and have contributed significantly to the marriage, given today’s economic constraints, the reality of pulling a six-figure salary out of the air after being out of the workforce for a long period of time, is virtually nil.

So what does all of this mean when calculating permanent alimony?  It means it’s best to work with a NJ mediator who can help you and your spouse determine an appropriate amount of spousal support in your particular case since in the absence of a formula, going to court and leaving your fate to a judge is probably not something you’d even want to consider and I can guarantee you that neither of you will be happy with the outcome.

In our next post, we’ll discuss limited duration alimony and how it may apply in your particular circumstances.