Estimate monthly alimony payments based on income differential, marriage duration, and common state formulas.
Auto-updated · Verified daily against IRS, Fed & Treasury sources
Enter your numbers below
A Texas-based freelance graphic designer earns $140,000 net profit/year from client work. She's evaluating whether to stay as a sole proprietor, form an LLC, or elect S-Corp status to reduce self-employment taxes.
Takeaway: S-Corp saves $8,300/year but adds ~$1,500-$3,000 in accounting fees (payroll, extra returns). Break-even is around $80-90K net profit. Below that, the overhead eats the savings. Texas has no state income tax, so the benefit is purely federal SE savings.
LLC annual fees range from $0 (Ohio) to $800 minimum (California, even for zero-revenue LLCs). Delaware C-Corp is standard for VC-backed companies but adds registered agent costs (~$300/yr) for out-of-state entities. The "best" structure is state-specific.
S-Corps cannot have more than 100 shareholders, cannot have non-US shareholders, and cannot have corporate shareholders. Violating these rules (e.g., adding a foreign investor) terminates S-Corp status retroactively, potentially creating a large unexpected tax event.
The IRS requires S-Corp owner-employees to pay themselves a "reasonable salary" before taking distributions. There is no fixed formula — the IRS looks at industry benchmarks, duties, and hours worked. Setting the salary too low is a common audit trigger for S-Corps.
Business break-even models track revenue vs. direct costs. They rarely factor in the owner's time as a cost. If you're working 60 hours/week at imputed $50/hour, your "profitable" business may be paying you $12/hour after the opportunity cost calculation.
Break-Even CalculatorA service business valued on EBITDA multiples (2-4×) gets a very different number than one valued on SDE (seller's discretionary earnings) or discounted cash flow. Buyers and sellers typically use different methods to argue their preferred price. This calculator uses a single method.
Business Valuation CalculatorBased on your inputs
For approximately 8 years
| Your Income | $120,000 |
|---|---|
| Spouse's Income | $45,000 |
| Income Difference | $75,000 |
| Estimated Monthly Alimony | $1,969 |
| Estimated Duration | 8 years |
| Total Estimated Payments | $189,024 |
| % of Your Income | 19.7% |
⚠️ Important Disclaimer
Alimony calculations vary dramatically by state and are subject to significant judicial discretion. This calculator provides rough estimates based on common formulas. Consult a family law attorney for advice specific to your situation.
Reality Score:save 3 numbers across housing, debt & cash to see how your full picture holds up (0–100). One calc alone can't tell you that.
Stays in your browser. Never sent to us.
Analyze 3+ calcs to unlock your Financial Picture dashboard (cross-analysis of all your numbers).
Temporary Alimony (Pendente Lite): Paid during the divorce proceedings, before the final settlement. Its purpose is to maintain the status quo while the divorce is being resolved. It typically starts when one spouse files for divorce and ends when the final decree is issued. The amount is usually based on a simple formula: a percentage of the income difference between spouses.
Rehabilitative Alimony: The most common type. It's designed to support the lower-earning spouse while they acquire education, training, or work experience to become self-sufficient. It has a defined end date, typically 2-5 years. The court expects the recipient to make good-faith efforts toward employment. Example: a spouse who left the workforce to raise children for 10 years receives rehabilitative alimony for 3 years while completing a nursing degree.
Permanent Alimony: Increasingly rare but still awarded in long marriages (15-20+ years) where the lower-earning spouse cannot reasonably become self-sufficient. Common in cases where the recipient is older (55+), has health issues, or was out of the workforce for decades."Permanent" is somewhat misleading — it typically ends upon retirement of the payer, remarriage of the recipient, or death of either party.
Reimbursement Alimony: Compensates a spouse who supported the other through education or career advancement. Classic example: one spouse worked two jobs to put the other through medical school. The supporting spouse receives reimbursement for their financial contributions to the other's career development. This is separate from property division.
While every case is unique, most states have developed guidelines (formal or informal) linking alimony duration to marriage length. A common framework: marriages under 5 years receive alimony for up to 50% of the marriage duration (so up to 2.5 years). Marriages of 5-10 years: 60-70% of marriage duration. Marriages of 10-20 years: varies widely, often 50-80% of duration. Marriages over 20 years: may qualify for permanent or long-term alimony.
Some states have specific formulas. Massachusetts, for example, caps alimony based on marriage length: marriages of 5 years or less get alimony for up to 50% of the marriage months. Marriages of 10-15 years: up to 70% of months. Marriages of 15-20 years: up to 80%. Marriages over 20 years: indefinite duration (but subject to modification).
California doesn't have a fixed formula but follows a general principle: for marriages under 10 years, alimony lasts half the length of the marriage. For marriages over 10 years (considered"long-term"), the court retains jurisdiction indefinitely, though the actual payments may have a defined end date.
Beyond income and duration, courts consider several factors that can push alimony higher or lower than the formula suggests. Factors that increase alimony include: significant income disparity, sacrificed career opportunities (relocating for spouse's career, declining promotions), health issues limiting employment, age making reentry into workforce difficult, standard of living during marriage, and domestic violence by the paying spouse.
Factors that decrease or eliminate alimony include: short marriage duration, both spouses have similar earning capacity, receiving spouse has significant separate assets, receiving spouse cohabits with a new partner, receiving spouse refused to work or seek employment, and marital misconduct by the receiving spouse (in fault-based states).
Courts have broad discretion. Two identical-looking cases in the same state can result in very different alimony awards depending on the judge. This is why consulting a family law attorney in your jurisdiction is essential — online calculators (including this one) provide estimates, not guarantees.
Child support exists for one reason: to ensure children maintain a reasonable standard of living regardless of which parent they live with. It's considered the child's right, not the custodial parent's. Courts treat child support as non-negotiable — parents cannot agree to waive it because it belongs to the child, not the parent.
Alimony exists for a different reason: to prevent unfair economic consequences of divorce. When one spouse sacrificed career opportunities for the marriage (staying home with children, relocating for the other's career), alimony bridges the gap between their earning capacity and the standard of living established during the marriage. Unlike child support, spouses CAN negotiate and waive alimony in prenuptial or divorce agreements.
Child support is heavily formula-driven. Most states publish detailed guidelines with income tables and specific percentages. There's relatively little judicial discretion — deviations from the formula require documented justification. This makes child support relatively predictable. You can plug numbers into a state-specific calculator and get a reasonably accurate estimate.
Alimony is far less formulaic. While some states have adopted guidelines (Massachusetts, California), most give judges broad discretion. Two cases with identical finances can result in very different alimony awards. Factors like marriage duration, age, health, and career sacrifices are weighed subjectively. This makes alimony much harder to predict accurately.
This is one of the biggest practical differences. Before the Tax Cuts and Jobs Act of 2017 (effective for divorces finalized after December 31, 2018), alimony was tax-deductible for the payer and taxable income for the recipient. This created a tax arbitrage: if the payer was in a higher tax bracket, the combined tax burden was lower when income was shifted via alimony payments.
Now, for divorces finalized after 2018: alimony is NOT deductible by the payer and NOT taxable to the recipient. This effectively increased the cost of alimony for higher-earning spouses by 25-40% (their marginal tax rate). It also reduced the recipient's effective income — they keep 100% of alimony but lost the leverage of the tax benefit in negotiations.
Child support has never been deductible or taxable. The payer gets no tax benefit; the recipient doesn't report it as income. This hasn't changed.
In most states, child support is calculated first, and alimony is calculated based on the remaining income after child support obligations. This means higher child support = lower alimony, and vice versa. Some states combine the two into a single"family support" calculation.
When child support ends (children age out), the paying spouse can sometimes request a modification to reduce alimony as well, since their total obligation has decreased. Conversely, the receiving spouse might argue for increased alimony to compensate for the lost child support. Courts handle this inconsistently — it depends heavily on the original divorce agreement and state law.
If you're going through a divorce, it's crucial to understand how alimony and child support interact in your state. The total support obligation (alimony + child support) is what matters for your budget planning. Use our child support calculator alongside this alimony calculator to get a complete picture.
A common formula is 30-40% of the income difference between spouses. On a $100K vs $40K income split, expect roughly $1,500-$2,000/month, adjusted for marriage duration and state.
Generally proportional to marriage length. Short marriages (under 5 years): 1-2 years. Medium (5-15 years): 3-8 years. Long marriages (20+ years): may be indefinite. Varies significantly by state.
Yes, in most states. Prenuptial agreements can waive or limit alimony, though courts may override the waiver if enforcement would be unconscionable or leave one spouse destitute.
The recipient's remarriage typically ends alimony automatically. The payer's remarriage generally does NOT affect their obligation. Cohabitation (living with a new partner) may reduce or end alimony in some states.
No, not for divorces finalized after December 31, 2018. The Tax Cuts and Jobs Act eliminated the deduction for payers and the income inclusion for recipients.
Alimony supports an ex-spouse financially after divorce and ends upon remarriage or a set date. Child support covers a child's needs like food, housing, and education, and continues until the child reaches legal adulthood regardless of either parent's marital status.
In no-fault states, courts focus on income disparity, marriage length, and each spouse's earning capacity rather than who caused the divorce. Judges use guideline formulas or discretionary factors to set a fair amount that helps the lower-earning spouse maintain a reasonable standard of living.
Rehabilitative alimony is temporary support designed to help a lower-earning spouse gain education, training, or work experience to become self-sufficient. It typically lasts two to five years and requires the recipient to show a concrete plan for achieving financial independence.
Yes, either party can request a modification if there is a substantial change in circumstances such as job loss, disability, significant income increase, or retirement. The requesting party must petition the court and demonstrate the change warrants an adjustment.
In many states, if the recipient begins living with a new romantic partner, the paying spouse can petition to reduce or terminate alimony. Courts evaluate whether the new living arrangement substantially reduces the recipient's financial need before making changes to the order.
Common Formula: Alimony ≈ 30-40% of income difference (varies by marriage duration)
Duration ≈ 50-100% of marriage length depending on total years married
⚠️ Actual amounts vary significantly by state and judicial discretion.
Every formula on this page traces to a federal agency, central bank, or peer-reviewed institution. We cite the rule-makers, not secondhand blogs.
Found an error in a formula or source? Report it →
Calculations are for educational purposes only. Consult a qualified financial advisor for personalized advice.