Does Alimony End With Retirement in California?

Those approaching retirement in California may be facing all kinds of financial pressures, and it makes sense to limit these pressures as much as possible. This is especially true in a world with growing economic uncertainty, rising mortgage rates, and the looming threat of a major recession. One financial burden that spouses may consider as they tighten their budgets is alimony, otherwise known as “spousal support” in California. Can spouses end their alimony obligations when they retire in California?

There is No Rule That States a Spouse May Cease Alimony Due to Retirement

Unlike some other states, California does not explicitly state that retirement allows spouses to cease alimony payments. However, retiring may represent a material change in circumstance that leads to a modification of spousal support. In other words, it is the change in income that allows spouses to potentially stop paying alimony, not necessarily the retirement itself.

Age Matters

If you want to establish that your retirement is a valid reason to stop alimony payments, you may need to retire at a specific age. Generally speaking, the retirement age for Americans is 65. However, this age may be older or younger depending on your career. Some careers are associated with earlier retirement dates, while others are associated with later retirement dates. The “appropriate” age for retirement may depend on your field or industry. For example, there is a notable precedent in California that established a firefighter may retire and cease alimony payments as early as age 61.

There are Other Factors to Consider

Spouses must remember that courts in California look at a range of factors when deciding whether alimony should stop. These factors include not only the age of the spouse and their retirement but also things like:

• The financial state of the receiving spouse
• Whether the paying spouse has additional assets
• The income of both spouses
• Any inheritance received by either spouse
• Whether the receiving spouse has any job skills that could lead to future income

In other words, courts look at the “big picture” of both spouses’ financial situation. It may be that the paying spouse has additional, passive forms of income that may facilitate continued alimony payments. These might include dividend-paying stocks, interest on high-yielding savings accounts, treasury bills, and so on.

In contrast, the receiving spouse might have their own assets to draw upon, such as inheritance or real estate property. At the end of the day, there is no universal rule when it comes to the handling of alimony during retirement in California.

Where Can I Find a Qualified Family Law Lawyer in California?

If you have been searching for an experienced family law attorney in California, look no further than the Knez Law Group. We know that reducing financial burdens like spousal support is critical as you approach retirement. If you are wondering how ending your career might affect spousal support, book a consultation today. We can assess your unique situation and determine the most appropriate course of action.