Divorce, commonly called “dissolution of marriage” in New Mexico, brings about many changes. One great change is in financial status. Dissolution of marriage also means separation of a couple’s financial lives.
Child and spousal support are sometimes ordered when a marriage is dissolved. When that happens, the dissolution decree will specify the amount and terms of payment. As time passes, however, the ordered payments may not be made on a timely basis or for extended periods. If you are the payer, the amount you owe will accumulate quickly and accrue interest while you are not paying. If you are the payee, you will have to begin thinking about how to get the money you are owed.
We are often asked about the extent to which adultery affects the amount of spousal support in New Mexico. Some people believe that those who cheat on their spouses should be punished and that the non-cheating spouse should receive a higher award of spousal support. Others believe that adultery should have no effect on the amount or duration of alimony. New Mexico law allows courts to award four different types of spousal support.
If you are newly divorced, you may be unsure of how to handle payment or receipt of spousal support on your taxes. Many issues are treated differently after a dissolution proceeding, and taxes are no exception. There are at least two major tax consequences when spousal support is involved: required reporting of income by the spouse receiving payments and a permissible deduction by the spouse making payments. A threshold issue for both former spouses is the decision of how to file.
Spousal support can be a hot-button issue for many people. Under New Mexico law, a court can order spousal support when the marriage is dissolved. The law states the different types of spousal support, as well as the factors judges must use in making spousal support determinations. New Mexico allows five different types of spousal support: rehabilitative, transitional, indefinite duration, and two types of single sum.