As you get closer to retirement age, it is important to understand how the change in income might affect your active support orders. These support orders can include both spousal and/or child support payments. It is vital that you have a clear understanding of how this transition may impact your finances so that you are able to plan accordingly.
When You Retire
It is essential to know that when you officially retire, it does not necessarily mean your active support orders will end. However, the payments can be adjusted or stopped altogether if you or the receiving spouse file to modify the current order.
The amount of time spent with each spouse must also be considered when determining any modifications. If the time spent with each parent changes significantly upon retirement, then there may also be an opportunity to modify the current orders.
Retirement and Spousal Support
In California, spousal support always has an expiration date and cannot last longer than half the duration of the marriage (with some exceptions). If spousal support was ordered in your case and you are close to retirement age, it is essential to examine what kind of impact this could have on your active support orders.
Depending on how close you are to retirement age compared to when spousal support was ordered, there could be an opportunity for modification within the court system. However, suppose you are already retired and still paying spousal support. In that case, it is possible that these payments will continue until both parties agree upon different terms or until expiration occurs.
Child Support and Retirement Age
Regarding child support payments, both parents still carry financial responsibility for their children, so one must understand how their changing income might affect their monthly contributions toward their children's care.
If one's income decreases due to retirement age, then they may qualify for a modification in court. Still, they must present evidence showing why they believe they should no longer be responsible for paying total amounts on all applicable accounts.
On the other hand, if one's income increases due to retirement savings or investments, they may also be obligated to increase their contributions toward their minor children's care even after retirement age.
Deeper Understanding. Better Solutions.
Preparing for retirement is a complicated process, and those paying active support orders must pay attention to how potential changes in income might affect them financially regarding these types of obligations.
If you or your former spouse are nearing retirement, reach out to our attorney to learn more about how this might impact your active spousal or child support orders. Call us today at (951) 418-2770 to schedule a consultation with our attorney.