When a couple undergoes a divorce, they will be burdened with issues of their marital property, finances, and parenting time. The agreement or court order that one spouse will be obligated to provide alimony or spousal support to the lower-earning spouse may be determined when ironing out financial concerns. Alimony isn’t automatically awarded. The court will consider several factors to determine the actual need for this financial support and the higher-earning spouse’s ability to afford such payments. Typically, alimony is paid out in monthly installments. However, in some cases, the court may approve a lump sum payment. Please continue reading to learn the benefits of a one-time alimony payment and how an adept Nassau County Alimony Lawyer can help you determine if this is the right option. 

What Are Lump Sum Alimony Payments?

Generally speaking, when alimony is awarded, it’s paid out through monthly installments over a predetermined period. However, an alternative option to monthly alimony payments is lump sum alimony. With this, a lump sum payout is a one-time payment that is equivalent to what would otherwise be the future monthly payments. Essentially, lump sum alimony allows an individual to fulfill their entire alimony obligation with one single payment.

What Are the Benefits of a One-Time Alimony Payment in New York?

Whether lump sum or monthly alimony is right depends on several factors. There are various benefits to a lump sum alimony payout. The following include, but are not limited to, the advantages of receiving a one-time alimony payment:

  • Guaranteed Payment: With this alternative to monthly installments, the dependent spouse will receive the total amount of future alimony payments upfront. This means you can rest assured knowing that your former spouse won’t miss any payments, and you won’t have to worry about tracking them down to fulfill their future obligations. Instead, since you’ll have immediate access to these funds, you can use the funds to aid your transition to the next chapter of your life by purchasing a home or paying off divorce-related debts.
  • Avoid Issues With Future Loss of Employment: A substantial change in either party’s financial circumstances could warrant modifying an existing alimony order. For instance, if your former spouse loses their job and faces a reduced income, the alimony agreement may be revised to reflect this change, and the amount you would be entitled to receive would decrease. Contrarily, if you obtain a higher-paying job, your former spouse could petition the court to have your monthly alimony reduced or eliminated because you no longer need this type of financial support. However, if you opted for a lump sum alimony, these circumstances would not impact your payout because the one-time payment has already been completed.
  • Remarriage: For many people, a divorce does not discourage them from getting out there and searching for love again. Monthly alimony payments will be terminated if a dependent spouse remarries. Nonetheless, a new marriage will not impact your payout if you accept lump sum alimony rather than monthly installments.

As you can see, there are numerous advantages to lump sum alimony. If you need help deciding which alimony route best suits you, please don’t hesitate to contact a Nassau County alimony lawyer from The Law Offices of Eyal Talassazan, P.C.