A Look at Alimony under Oklahoma Law

by Shane Henry

 

What is Alimony?

Alimony is generally the payment of money from one spouse to another as the result of a divorce. Under Oklahoma Law there are 3 main types of alimony, those types are: support alimony, property division alimony, and Hubbard alimony. Several states have lifetime alimony provisions, however, Oklahoma is not one of these. Often, courts start with an analysis called the “Johnson County” formula. This comes from a case in Johnson County, Missouri. In which, the court used the following formula: the life of the marriage divided by 3, which determined the payout of the alimony. They took the difference in the parties’ incomes to determine the total amount to be paid out. For example, if one party makes $150,000 gross annual salary and the other party makes $50,000 gross annual salary, the difference in those two would be 100,000, which would be the total amount to be paid out. If the parties had been married for 21 years, it would be paid out monthly over a period of 7 years. 100,000 / (7 x 12) = $1,190.47 per month. This is just a starting point for judges that some use and some do not. This is not codified, nor is it a requirement. It is merely a guideline.

Under Oklahoma law, alimony is up to the discretion of the judges, unlike child support. Child support is set by a specific formula.  This formula takes into account the number of overnights each party has with the minor children, the costs of health insurance and the cost of daycare.  Once all of these factors are applied into the formal it determines a specific monthly child support amount.  This means child support will be the same in every case when the facts match up. Alimony, however, is different. It is up to the discretion of the judge, as family law courts are courts of equity. This means that an attorney can take the same case with the same facts and try it in front of 4 different judges and get 4 different awards for alimony. Rarely do the appellate courts overturn the discretion of the judges.

  1. Support Alimony: Support alimony describes the payment of funds from one spouse to another to provide for the care and maintenance of the receiving spouse. Traditionally, this was looked at through the eyes of a lifestyle analysis. A lifestyle analysis is the parties’ lifestyle during the term of the marriage, what they have become accustomed to and how they lived. Then the payment amount is determined to provide for the same, or similar, lifestyle for a determined period of time after the marriage ended. In the past decade, the courts have trended away from the lifestyle analysis, and they are more inclined to an amount that will allow the receiving spouse to transition into a life where they become self-supporting.
  1. Property Division Alimony: This is a term used to describe the payment of funds used to balance any inequities that occurred when dividing the property. The courts take into account how the assets are divided up in the marriage, if one party receives more or less than the other party, and they equalize the judgement of the property division award by ordering one party to make payments to the other so that possessions are equitably divided.
  1. Hubbard Alimony: There is a provision under Oklahoma law called Hubbard alimony. This came from the Hubbard case, in which a wife was a stay at home mom and helped take care of the kids, run the household, and support the husband, both financially and otherwise, while he obtained his medical degree. Later, Hubbard (the husband) found love with a nurse in his hospital and filed for divorce. In that case, the court awarded the wife “Hubbard alimony” that would compensate her for the investment she made into her husband’s medical degree, which he would receive future benefits from; she was entitled to equitably receive benefits of that degree as well.

How is Alimony Determined?

  1. Need / Ability to Pay: In Oklahoma, courts look at 2 main factors in determining alimony, need and ability to pay. Need has to do with the recipient’s lack of funds in maintaining their current lifestyle, or in obtaining the education or training they will need in transitioning to their new life beyond the marriage. Need is most often established through the testimony of the client seeking the alimony and in supporting evidence. This evidence is often a budget, taking into account average monthly income, as well as average monthly expenses. This budget needs to be supported by documentation of what has been paid. Most everyone can establish a need for additional money in their lives, however, once this element is met, the court will then look to the potentially paying spouse to see if there is an ability to pay. If so, the court will again take into account this person’s income, as well as expense, and consider what is currently being earned and received, as well as what is reasonably expected to happen in the future. In considering these factors, the court will then determine an appropriate alimony amount.
  1. Rehabilitation / Transition: In considering an alimony award for rehabilitation or transition, the court will often look at what education, training, and experience will be required for the requesting spouse in determining the amount award. Parties seeking this type of alimony should be prepared to present to the court the type of school, and the costs associated with the same.
  1. Equitable Divisions of Property: The court will look at a marital balance sheet which shows the value of the properties assets and debts as of a certain date and then how much each spouse is receiving in the division. This calculation will often leave one spouse receiving more benefit than the other. In equalizing the division of alimony, equitable division alimony will be awarded.

 

Can Alimony be Modified:

Once an alimony award is set in place by a court, and incorporated as part of a decree or order, can it be changed? If so, how does this happen?

  1. Total / Monthly Payment: In order to be enforceable, alimony awards must state the total payment of the alimony, along with the monthly payment amount. For example, an order may say alimony should be paid from one party to another in the amount of $50,000 and it should be paid monthly in the amount of $1,000 beginning on the 15th of the month, following the entry of the decree and continuing each month thereafter until paid in full. If the total and monthly amounts are not set out specifically, then the alimony award may be challenged under Oklahoma case-law.
  1. Support: Generally, the total amount of an alimony award is not modified. However, the court can take into account a party’s change in circumstances, ability to pay, or other factors, and may change the monthly payment amounts. Often, when a party loses a job and is still ordered to pay alimony, the court will reduce the monthly alimony payment, and not change the total award amount. Thus, the party pays a lesser amount for a longer period of time.
  1. Property Division: This is non-modifiable.

Of course, all of these factors need to be applied to the specific circumstances of each case, as the family law courts are courts of equity. It is encouraged that you contact an attorney to discuss your specific case and determine the best plan of action.

By M. Shane Henry

shane@henrydowlaw.com

www.henrydowlaw.com

 

Tulsa

1616 South Main

Tulsa, OK 74119

PH 918-933-4333

FX 918-512-4461

Norman

480 24th Ave. NW, Ste 200-5

Norman, OK 73069

PH 405-605-0681

FX 405-594-6004

OKC

611 N. Broadway Ave., Ste M

Oklahoma City, OK 73103

PH 405-605-0681

FX 405-594-6004