When a North Carolina judge awards you alimony in your divorce, you have received a boon that many women are not so fortunate to receive. That said, just because you get to receive alimony money does not mean that your financial troubles have been solved.
Receiving alimony — just like the receipt of any kind of money — is a responsibility. What follows is some sound advice to all recipients of alimony with regard to the best way to spend these payments.
A few things to keep in mind about your alimony payments
Following this advice will help you stay in good financial shape when you start receiving your alimony payments:
Remember tax liabilities: Your alimony payments will not be for the full amount awarded. That’s because, due to income taxes, your final alimony payments will be subject to reduction at the end of the year. Talk to an accountant about your tax liabilities so you can determine how much of your alimony check you should save for taxes, and how much you can spend.
Don’t be reckless: The reckless expenditure of alimony payments could actually result in the revocation of your alimony. Be wise with how you spend this valuable support so you don’t risk losing your monthly check.
This is an investment for your future: Don’t look at alimony as a paycheck. This is extra money to help you get your life on track to the level that you enjoyed while you were married — so you can sustain your lifestyle independently. If possible, save your alimony payments until you’re certain about how you will spend them.
Spend the money wisely: Consider using your alimony payments to cover the costs of your legal fees associated with divorce. Use the money to pay for your rent. Use it to pay for your mortgage.
Finance your education: If you need job training or other education to make yourself employable, this is another excellent use of your alimony checks.
Know your legal rights as an alimony recipient
As an alimony recipient, you will have specific legal rights and obligations. The more you know about North Carolina law as it applies to alimony, the better off you’ll be when it comes to managing this valuable divorce benefit.