Articles Posted in Divorce / Dissolution of Marriage

Written By: Lenorae C. Atter, Attorney
Wood, Atter & Wolf, P.A.

Florida divorces require that assets, including all accounts (IRAs, Mutual Funds, etc.) be divided equally by the parties. Once the assets are divided equally, the income available to the parties may be construed differently and impute certain monthly allowances to a party when determining if alimony will be awarded. In a recent Florida case, Neiderman v. Neiderman, 36 FLW D927 (Fla. 4th DCA May 4, 2011), the court found that the Wife could be imputed income from the division of an IRA. While IRAs do have a penalty for withdrawals made before age 59 and 1/2, there is a provision under IRS Regulation 72(t) that allows equal periodic payments from an IRA without penalty. This is done only if the payments will be for more than five years; the life expectancy of the party; and if there is a reasonable rate of return. Under this provision, the wife in Neiderman could withdrawal $9,000 per month without invading the principal. Therefore, the wife was imputed $9,000 per month income only from the IRA as imputed income for determining her alimony award since her husband made $500,000 per year and she made $35,000 per year.
Given market changes, she may be able to apply for a modification of alimony if there is a deviation of at least 15% in her available income.

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Written By: Lenorae C. Atter, Attorney

Wood, Atter & Wolf, P.A.

Club memberships can be a point of argument in a divorce. Often, couples who have membership to a private club are both covered under the same member policy. Typically, one membership will include both people in the couple, so dividing the membership can be difficult. What is important to consider when fighting over such memberships is whether you van afford the membership after the divorce. Memberships are not considered an asset, but can be calculated in determining alimony expectations or as a negotiation tool. Before fighting try to have an understanding of what you are fighting over, including whether the members are going to be your social group during and after the divorce, whether you can have your own membership established without your spouse, etc. If the membership is one that you can have without your spouse, then you want to establish whatever cost would be. However, if the membership is through your spouse’s employer, then it most likely will stay with your spouse because it is nontransferable. Understand what you are asking for before fighting over it because it will save you time, money and frustration through the divorce.