Understanding Alimony in North Carolina

In today’s divorce landscape, most couples in North Carolina resolve their issues — property division, custody, and financial support — through mediation or settlement instead of court. However, alimony remains one of the most significant and often misunderstood parts of the divorce process.

While its roots go back to a time when women were financially dependent on their spouses, modern alimony law is gender-neutral and focuses on fairness and post-divorce stability for both partners.

What Is Alimony?

Alimony (or spousal support) is financial assistance paid by one spouse to the other after separation or divorce. It’s designed to help the lower-earning spouse maintain a reasonable standard of living while transitioning to financial independence.

In North Carolina, a spouse may qualify for alimony if they are:

• Actually substantially dependent on the other spouse
• In substantial need of support, or
• The other spouse was at fault for the end of the marriage

The spouse receiving alimony is called the dependent spouse, and the one paying is the supporting spouse.

Determining Eligibility and Amount

The court evaluates whether the dependent spouse truly relies on the supporting spouse to maintain the lifestyle established during the marriage. Conversely, if the supporting spouse committed marital misconduct — such as adultery — they may be ordered to pay alimony.

When awarding alimony, North Carolina courts consider the frequency, duration, and form of payment — whether it’s a lump sum, periodic payments, or property transfer.

Key Factors the Court Considers

Judges use 16 key factors outlined in state law, including:

• Duration of marriage
• Income and earning capacity of both spouses
• Standard of living during marriage
• Age, health, and education levels
• Marital misconduct
• Custody of children and related expenses
• Each spouse’s contributions to the marriage (including homemaking and career support)
• Tax implications and other financial circumstances

No single factor outweighs another — the court seeks a fair and balanced outcome for both parties.

How Alimony Is Paid

Alimony can take different forms based on financial circumstances:

• Lump-sum payment
• Periodic payments (monthly or annually)
• Transfer of property (personal or real estate)
• Granting an interest in real property to secure payment

The court also sets an end date for payments. Common triggers for termination include remarriage, cohabitation, or the death of either spouse.

Taxes and Alimony

Under current federal tax law, alimony payments are no longer tax-deductible for the paying spouse, nor are they taxable income for the recipient. This rule applies to divorce agreements finalized after 2018. However, older agreements may still follow the previous tax rules.

Modification and Enforcement

When Can Alimony Be Modified?

Alimony orders can be modified if there’s a substantial change in circumstances — such as income, employment status, or living expenses.
The court won’t modify payments if a spouse intentionally reduces income to lower their obligation.

How Courts Enforce Alimony

To enforce payment, courts may issue wage garnishments, property liens, or hold a spouse in contempt. Past-due payments can also become enforceable judgments.

Key Takeaways

• Alimony is gender-neutral and based on financial need, fairness, and post-divorce stability.
• Courts consider the entire financial picture, not just income.
• Tax rules have changed, making private agreements and careful legal drafting essential.
• Modification is possible only with proof of real, lasting change in circumstances.

Need Guidance?

If you’re navigating a separation or divorce in North Carolina, understanding your alimony rights is essential. The Law Office of Dustin McCrary is here to help you move forward with clarity and confidence.

Our dedicated team takes the time to understand your unique situation and guide you toward a resolution that protects your rights and your future.

Contact us today to schedule a confidential consultation and let us help you take the next step toward stability and peace of mind.