Alimony Laws in Indiana

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In the event of a divorce, if either spouse does not have a separate estate, or if a spouse's assets are not sufficient to offer a means of support, a judge might order alimony, which is also known as maintenance in Indiana. Alimony is usually a monthly financial allowance paid by one spouse to another. The purpose of alimony is to offset any unfair economic effects of a divorce by providing a continuing income to the non-wage earning or lower-wage earning spouse.


To be eligible for alimony, spouses in all states, including Indiana, must have been legally married. Alimony is usually based on a settlement agreement made between the spouses or the discretion of a judge. Indiana courts may award maintenance upon finding that the spouse seeking maintenance is either physically or mentally incapacitated to the extent that he or she cannot support himself or herself, or the spouse seeking maintenance lacks sufficient property to support himself or herself as well as an incapacitated child, and he or she cannot work because employment would conflict with caring for the child.

 

According to Indiana Code 31-15-7-2, courts may also order rehabilitative maintenance to a spouse after considering the following:

  • The educational level of each spouse at the time of marriage and at the time divorce proceedings commenced
  • Whether the education, training, or employment of the spouse seeking maintenance was interrupted because of homemaking or child care responsibilities
  • The earning capacity of each spouse
  • The time and expense necessary for the spouse seeking maintenance to acquire sufficient education or training in order to find appropriate employment

According to state law, rehabilitative maintenance in Indiana can only be ordered for a period of time up to three years.

An Indiana court may also order temporary maintenance while the divorce is pending. In most states, remarriage of the recipient spouse will terminate alimony. In Indiana, a maintenance order can be modified upon a showing of a substantial change in circumstances or by an order, issued at least 12 months prior, to pay child support that differs by more than 20% from the amount that would have been ordered by applying the Indiana child support guidelines.

 

In the United States, alimony is treated differently tax wise from child support payments. In Indiana, alimony is deductible for the person who pays it and taxable income for the person who receives it under the rules of the Internal Revenue Service, while child support is not. This can make alimony a tax advantage for the person who pays it and has prompted the federal government to create “hurdle tests” to differentiate between alimony, child support, and property settlement. 

 

In the past, most alimony awards were made to homemakers who needed the support of their former husbands. However, since current marriages often consist of two wage earners, and more men are assuming child-rearing duties, alimony awards have changed. It is no longer unusual for an ex-wife to be compelled to make alimony payments to her ex-husband. Divorcesource.com provides a comprehensive explanation of maintenance laws in Indiana.