Understanding Alimony in North Carolina: Calculation and Modification

Alimony, also known as spousal support, is a financial arrangement where one spouse provides monetary assistance to the other after a divorce or separation. In North Carolina, the purpose of alimony is to ensure that the dependent spouse—the one who is financially disadvantaged—can maintain a standard of living reasonably similar to what was established during the marriage. 

How Alimony is Calculated in North Carolina

Unlike child support, which is determined using standardized guidelines, alimony in North Carolina is calculated on a case-by-case basis. 

Section 50-16.3A(b) of the North Carolina General Statutes allows for courts to evaluate various factors to determine whether alimony is appropriate and, if so, how much should be paid and for how long. Key factors considered include:

1. Financial Dependence and Ability to Pay: The court first determines whether one spouse is financially dependent on the other and whether the supporting spouse has the ability to pay alimony.
2. Length of the Marriage: Longer marriages generally result in higher alimony awards, as the dependent spouse is more likely to have relied on the marital lifestyle for an extended period.
3. Standard of Living: The court examines the standard of living established during the marriage and aims to help the dependent spouse maintain a similar lifestyle post-divorce.
4. Earnings and Earning Capacity: Both spouses’ incomes, earning capacities, and employment histories are considered to assess financial needs and contributions.
5. Age and Health: The physical and mental health of both parties can influence the duration and amount of alimony.
6. Marital Misconduct: Marital misconduct, such as adultery, abandonment, or cruel treatment, can significantly affect alimony decisions in North Carolina. For example, if the dependent spouse engaged in illicit sexual behavior, they may be barred from receiving alimony.
7. Contributions to Education or Career: Contributions made by one spouse to the other’s education, training, or career advancement are considered in determining alimony.
8. Other Factors: Courts may consider any other relevant factors, such as property distribution, tax implications, and each party’s financial obligations.

Can Alimony Be Modified?

Yes, alimony in North Carolina can be modified under certain conditions. Section 50-16.9 of the North Carolina General Statutes allows for a modification of an alimony order upon “a showing of changed circumstances by either party or anyone interested.”  However, North Carolina courts have interpreted this statute to require a showing of a substantial change of circumstances affecting the financial needs of the dependent spouse or the supporting spouse’s ability to change. Not just any “change” will qualify, but common reasons for modification include:

1. Changes in Income: If the paying spouse experiences a significant decrease in income or the receiving spouse’s financial situation improves substantially, the court may adjust the alimony amount.
2. Remarriage or Cohabitation: If the receiving spouse remarries or begins cohabiting with a new partner, alimony may be terminated or reduced.
3. Health Issues: Serious health problems affecting either spouse’s financial situation can warrant a modification.
4. Retirement: When the paying spouse retires, this could lead to a reduction or termination of alimony, depending on the circumstances.

Overall, Alimony in North Carolina is a complex legal issue that requires careful consideration of various factors. It is not determined by a fixed formula, but rather through a thorough examination of each spouse’s financial needs and circumstances. Importantly, alimony arrangements are not set in stone and can be modified if there is a significant change in circumstances. Regardless of whether you are the spouse who is anticipating having to pay alimony or the spouse who is seeking alimony, or a spouse who is seeking to modify alimony, it is very important that you consult with an attorney who can help guide you through this complex process. Contact Ley Law to set up a consultation regarding your alimony questions today!