Spousal support, which is often called alimony, is a critical piece to many divorces all across the country. It isn’t guaranteed to be involved in any given divorce, but when it is, the spouses involved will have a bunch of important questions that they will need answered. What are the terms of the spousal support arrangement? How much will it cost? What factors are used to determine spousal support?
What can get lost in all the commotion over spousal support is the logistics of paying and receiving spousal support. Both spouses need to track the payments that they send or receive because that information is vital to ensure timely payments, and to provide you with evidence should any litigation come about that involves your divorce or your spousal support.
Keeping a record of all the payments you send or receive can also help you with your taxes. Remember that spousal support is tax deductible for the paying spouse, and the payments must be included in the taxable income of the receiving spouse.
With that in mind, what information should you track? All the basic information should be covered, including the addresses used for the payment, the check number, the bank used, the account numbers used, and the date of the payment.
But what if the paying spouse doesn’t use checks? Well, if he or she pays in cash, the two of you need to create a receipt for the payment — and make sure that both of you sign the receipt.
Source: FindLaw, “Alimony Guidelines: What Records to Keep Regarding Your Alimony,” Accessed Jan. 25, 2018