Recently we discussed the two ways in which spousal support is calculated in Canada: using the “with child support” formula or the “without child support” formula. Another matter to consider with regard to child support and alimony is taxes. Prior to May 1997, child support and spousal support were tax deductible by the payer and taxable to the recipient, but since then the rules have…
The federal Spousal Support Advisory Guidelines are commonly used to determine the amount and duration of spousal support to be paid. When using the guidelines’ formulas for calculating support, it is important that each party’s reported income is accurate. The guidelines are designed to generate a range of support amounts for a given situation, so really the guidelines provide a general starting point for deciding…
For an untold number of people, divorce results in financial strain. This may be especially true for parents whose marriage is ending. Suddenly you face the costs not only of finding and paying for a new home; many, if not all, of your children’s belongings may have to be duplicated for each household. During a time when you need to be focused on emotional healing…
Statistics Canada stopped collecting information strictly about divorces in 2008, but up until then the divorce trends in Canada were relatively stable. In recent decades, the annual rate of divorce has ranged from 35 per cent to 42 per cent, with the rate in 2008 being about 40 per cent. That year there were reportedly 70,226 divorces in Canada. Sadly, these numbers reflect frequent emotional…
When you think of marriage, you likely think of a relationship based on emotions and shared experience. But the law views marriage differently. In Canada, provincial, territorial and federal laws treat spousal relationships as financial partnerships, and the law sets out rules for the division of matrimonial property when a spousal relationship ends. Often spousal support is one of the more complex and contentious financial…
If you are in or have recently ended a common-law relationship in Ontario, then it is important to understand that the property division rules that apply to married couples do not apply to common-law spouses. In general, the property purchased by one common-law spouse belongs to that spouse alone, and unlike legally married couples, common-law couples do not share in the increase in value of…