How is Spousal Support Calculated in BC?

After a marriage breaks down, spousal support can be one of the most contentious issues on the table.

In a nutshell, spousal support is calculated according to the length of the marriage, the needs of the lower-earning spouse, and the ability to pay for the higher-earning spouse.

However, other factors can be considered during the calculations, including child support payments, contributions of each spouse to the marriage, and the employability of a recipient spouse.

Judges in British Columbia are well-versed in applying the relevant formulas, rules, and standards but what if you’re trying to work it out for yourself? How is spousal support calculated in BC?

Let’s find out.

What is spousal support in BC?

Spousal support—or alimony as it was once known in BC—is designed to help divorcing individuals transition to single lives without hardship and with a standard of living as close as possible to that enjoyed during the marriage.

The Family Law system in Canada aims to protect the stability of families. Divorces and relationship breakdowns threaten that stability. So., when a couple separates—with or without children— ex-spouses may still have a financial obligation to each other.

Spousal support is generally paid by the higher-earning spouse to the lower-earning spouse as a way to help the recipient become self-sufficient.

Sometimes, homemakers or spouses who have been out of the workforce for an extended period are financially disadvantaged by a marriage or relationship breakdown. To ensure that no hardship results, the working spouse (or higher-earning spouse if both partners work) may need to pay spousal support to the non-working (or lower-earning) partner.

In BC, these principles apply whether the relationship is a formal marriage or considered “marriage-like” (i.e., cohabitation for three years or more or having a child together).

How much spousal support is payable in BC?

Over a decade ago, the Canadian government hired two professors to analyze old spousal support decisions and create a formula based on an average of all the cases. This should include various amounts of income, lengths of marriages, and number of children born in the relationship.

A set of spousal support guidelines and formulas have largely been used ever since to determine how much alimony is payable by one ex-spouse to another—depending on various circumstances.

Ultimately, shorter relationships usually result in smaller payments while in longer marriages, the calculation may almost equalize the incomes of both spouses.

You can read more about how this is calculated below—but there is no single spousal support calculator as there is for child support in BC.

What is the duration of alimony in BC?

Typically, spousal support is awarded temporarily but indefinite support may apply in some circumstances.

The duration of support is largely determined by the length of the marriage. The longer the marriage, the longer the duration of support. However, each case is considered on its unique circumstances before a final decision is made.

Spousal support is not automatic. If an amount cannot be agreed between the ex-partners through negotiation or mediation (and no prenuptial agreement exists that covers alimony), a petition for spousal support must be made to the court and alimony ordered by a judge.

Temporary, interim support may be awarded before the final divorce judgment is made. This will usually be replaced by permanent support after the divorce is finalized.

How is spousal support calculated in BC?

Most parents don’t object to paying child support to help raise their children. With spousal support, the issue is often far more contentious. Besides that, the calculation is also less straightforward than that for child support and many couples seek the assistance of a spousal support lawyer to help work out the correct amounts—particularly couples with children.

Spouses with children often do not realize that alimony calculations are affected by child support calculations—though they are generally handled as separate matters.

Here are the two main ways of calculating spousal support in BC…

How is spousal support calculated with child support?

When child support is paid by one parent, the calculation for spousal support takes this amount into account. The basic formula for spousal support with child support requires the following calculations:

1. Work out the individual net disposable income (INDI) of each spouse
2. Add together the INDIs
3. Calculate the range of spousal support amounts required for the lower-income recipient spouse to be left with 40-46 percent of the combined INDI
4. Factor in the custody arrangement

As you can see, this calculation can become extremely complex and may require a professional eye.

Bear in mind that the custody arrangement affects spousal support too—both in terms of amounts and duration. The child support obligation may end when the child reaches the age of majority (18 in BC), which can then affect the amount of spousal support payable.

How is spousal support calculated without child support?

Calculating spousal support when there are no children from the marriage is a little more straightforward:

1. Note the gross incomes of both spouses
2. Calculate the length of the marriage
3. Work out an amount between 1.5 and 2 percent of the difference between the spouses’ gross incomes for each year of the relationship (up to a maximum of 50 percent).

This third step requires a little explanation—best done with an example.

Say that the marriage lasts 10 years. The amount of spousal support would be in the range of 15 to 20 percent of the income difference between the two spouses.

If the income difference was $50,000 per year, the spousal support payments would need to be in the range of $7,500 to $10,000 per year (15 to 20 percent).

If the marriage lasted 25 years, the range is from 37.5 to 50 percent of the income difference, which almost equalizes the incomes of the two ex-spouses.

Are there any exceptions to these spousal support guidelines?

As a general rule, shorter marriages mean lower alimony payments paid over a shorter duration, while longer marriages mean higher support payments—possibly indefinitely.

As mentioned, other circumstances like the age, education, training, general employability, and career prospects of the recipient spouse may be considered in the calculations by a judge.

There are also some exceptions to the general rules outlined above where calculations may vary from the guidelines:

• In high-income cases involving incomes over $350,000
• Where compelling financial circumstances affect either spouse
• If significant debt payments are a factor
• If a spouse has prior support obligations
• Where illness and disability affect a spouse’s needs or the ability to pay

Spousal support is rarely a simple matter and can be hotly disputed. If you require legal assistance in the Langley area of British Columbia, DSG Family Law offers a free initial consultation to assess your situation and outline your legal options. Speak with Darlene, a Langley family lawyer, today.