Question:
Jim, How does all this affect the alimony payments once the Vet is divorced and no longer receiving benefits based on the Vet and Spouse rate? Yes, the policy makes sense to share those benefits with his spouse (while only separated) or school age children when he is getting compensation for them. But once the vet is no longer getting benefits based on having a spouse or a dependent has aged off his benefits, it would seem to me the compensation should not be considered as income once he no longer has a spouse. The vet is no longer receiving benefits for him or her from VA. Drawing only a Vet Only rate.
Jim's Reply:
Divorce and the subsequent fallout can become complex. It's always to our advantage to study just how this works.
When you divorce, the court gets financial documents from each party. Based on what the court sees in those reports and a formula that each state uses, orders are issued for child support and alimony payments as well as any other stipulations that may be appropriate. Those orders are in place unless and until one party or the other returns to the appropriate court and asks for a modification of the existing orders.
There is no other way to change the amounts owed other than returning to the court that has jurisdiction over the divorce at this moment in time. If you reach an off the record agreement to modify terms between you, that may haunt you in the future and isn't recommended.
Some states limit the number of times you can seek to modify the terms of your divorce, others may set financial restrictions that dictate just what you're allowed to ask for. I typically warn that the court can impute an order for increased payments because the court believes you're under-reporting income.
In the end, if you think you pay too much, you have to return to court to seek modification. Anything else may be contempt of court and you don't want to go there.