Should I Agree to Lump-Sum Alimony in Orlando?

If you’re approaching divorce in Orlando, you may encounter the possibility of alimony. Although permanent alimony has now been abolished in Florida, many spouses could pay (or receive) these funds for at least a few years. Should you agree to lump-sum alimony right away and “get it over with?” Or should you pursue the more gradual process of periodic alimony instead? This is a question that you may want to ask your alimony lawyer in Orlando.

What Is Lump-Sum Alimony? 

As the name implies, you pay lump-sum alimony all at once. Instead of spreading out these payments over time, you make a single payment to your ex with no further obligations. In contrast, “periodic alimony” occurs over time – often with monthly payments.

The Benefits of Lump-Sum Alimony 

Many spouses choose lump-sum alimony because it severs the connection between their ex once and for all. If there are no children in the picture, lump-sum alimony serves as a final farewell – and spouses can avoid any future legal challenges in the future. This may be a priority for both spouses.

The recipient may prefer lump-sum alimony for obvious reasons. One can purchase or invest more with a lump-sum payment. A spouse might use the sum to purchase a new home or invest in something that generates passive income.

Another benefit is the fact that lump-sum alimony cannot be modified. Once the transfer occurs, the issue is settled. In other words, the recipient cannot come back in a year and ask for more because of a new disability or similar “change of circumstance.”

Finally, lump-sum alimony can be used to streamline deals and asset trades during mediated property division. For example, a spouse might agree to let their ex take the family home in exchange for a lump-sum alimony award.

The Downsides of Lump-Sum Alimony 

The fact that lump-sum alimony is non-modifiable could also be a downside. For example, the payor may hand over seven years of spousal support all at once – only to retire three years later. It is easier than ever to cease alimony once you retire in Florida, and these payments could stop sooner than you realize.

Another obvious downside to lump-sum alimony is that it is simply less feasible for many spouses. Some may not have the means to pay years of alimony all at once. On the other hand, recipients may lack the financial knowledge to manage large sums of money – and they may actually benefit from “drip-feed” distributions.

Contact a Spousal Support Lawyer in Orlando 

It is difficult to determine which type of alimony to choose without assessing your unique situation. Online articles cannot offer personalized advice – but a spousal support lawyer in Orlando can. In particular, you should consider speaking with a lawyer who has direct experience with alimony in Florida. Choose Steve Marsee, P.A. – and discuss the prospect of lump-sum alimony in more detail during a consultation.

Sources: 

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/Sections/0061.08.html

flsenate.gov/laws/statutes/2011/61.08