Exceptions to the Spousal Support Advisory Guidelines (SSAG)

Introduction

The Spousal Support Advisory Guidelines (SSAG) are intended to provide a fair and standardized approach to spousal support, but they are not one-size-fits-all. There are several scenarios where deviations from the norm are permitted. This post will delve into several exceptions to the SSAG, including cases involving high or low payor income, compelling interim financial circumstances, debt payment, and more.

High or Low Payor Income

The SSAG stipulates that if the payor's income is less than $30,000 or more than $350,000, an exception can be made. However, many lawyers choose to use the SSAG calculations even when these exceptions are present. Occasionally, there is a cap on support in cases of extremely high income, such as the case of McCain v. McCain, where the order was for $175,000 per month in interim support.

Compelling Interim Financial Circumstances

Sometimes, there are compelling interim financial circumstances that might require an adjustment to the amount of support. For example, if one spouse is bearing the brunt of large housing costs pending a sale, an adjustment might be necessary until the situation can be normalized. Most software designed for these applications allows you to enter unusual expenses, which will be taken into consideration.

Debt Payment

Where there is to be no equalization payable and one spouse has taken responsibility for most of the family debt, an exception may apply. The software used for these calculations allows you to enter the cost of unusually high debts, which will then be considered in the calculation of spousal support.

Compensation in Exceptional Short Marriages with No Children

There may also be exceptions for short marriages with no children where the lower-income earning spouse may have made significant sacrifices to support the payor spouse and now requires compensation. For instance, if they had moved to a new country or worked to put the other spouse through school. In these cases, the amount or duration of spousal support may need to be adjusted.

High Property Award

In rare cases, a property award can be so high that the recipient spouse is no longer able to demonstrate entitlement to support due to a significant increase in their net worth after equalization. This is a rare exception and presents a challenging argument for the payor to make.

Non-taxable Income

In cases where the payor spouse cannot benefit from the tax deductibility of spousal support payments because their income comes from non-taxable sources like disability or Worker’s Compensation payments, net figures may be used in calculations.

Other Exceptions

Several other exceptions may also apply. For instance, if a child is disabled, it can impact the recipient spouse’s ability to return to work, as well as the costs of caring for that child. Or, if the recipient has a long-term illness or disability and the marriage was of limited duration, courts may lower the quantum and extend duration or simply ignore time limits to ensure the recipient spouse is supported.

Conclusion

The Spousal Support Advisory Guidelines (SSAG) provide a structure that allows for flexibility and adaptability to unique circumstances in determining spousal support. Whether it's a case of high or low payor income, compelling interim financial circumstances, debt payment, or one of the other exceptions, the SSAG's goal is to ensure fairness and appropriateness in each individual case. Understanding these exceptions can be crucial in ensuring that fair and appropriate spousal support is determined.

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Restructuring Spousal Support: An In-Depth Analysis

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Income Determination for Spousal Support