Can Alimony Be Reduced or Ended After Retirement?

Spousal support, also known as alimony or spousal maintenance, is a court-ordered payment designed to ensure economic fairness following divorce. In California, courts grant support based on factors outlined in Family Code §4320, which include the length of marriage, each spouse’s earning capacity, health, age, and financial resources.

But what happens when the paying spouse reaches retirement age? Retirement often results in a reduced income, and the law recognizes it as a potential material change in circumstances that may justify modifying or even terminating spousal support. This article reviews the case of Reynolds v. Reynolds and explains the broader legal framework, enabling individuals facing similar circumstances to understand their rights and obligations.

Case Background: The Reynolds Marriage and Support Order

After a 37-year marriage, Dr. Gordon Reynolds was ordered to pay his wife, Polly Reynolds, $5,500 per month in spousal support. The couple separated in 1985, and their final Judgment of Dissolution was entered in 1989. At that time, Dr. Reynolds was employed with an annual income of $204,000 and agreed to the support order.

Years later, Dr. Reynolds underwent leg surgery, lost his job, and attempted to reduce his support obligations. By age 67, he had retired and filed a motion to either terminate or reduce payments, arguing that his retirement and diminished income represented a significant change in circumstances.

The Trial Court’s Decision

Initially, the trial court reduced spousal support only slightly — from $5,500 to $3,500 per month. The court’s reasoning was based on a determination that Dr. Reynolds still had $5,000 per month in income, largely attributed to investments and presumed earning capacity.

Polly Reynolds opposed his request, highlighting her own physical and mental disabilities, limited income, and need for continued financial support. She also challenged Dr. Reynolds’ financial disclosures, arguing that he understated his income.

Despite conflicting evidence, the trial court maintained that he could pay at a reduced level.

The Appellate Court’s Review: Abuse of Discretion Standard

On appeal, the Appellate Court revisited two central questions:

1. Had a material change in circumstances occurred?
2. Did the trial court abuse its discretion in determining support?

The appellate judges emphasized that no one may be compelled to work beyond the usual retirement age of 65 solely to maintain the same level of spousal support as when employed. The court also found that there was insufficient evidence to support the trial court’s conclusion that Dr. Reynolds had $5,000 in monthly income.

This ruling underscored an important principle: while courts have broad discretion in modifying support orders, that discretion must be rooted in evidence and fairness.

Legal Framework for Spousal Support Modifications

California Family Code §4320: Factors Courts Must Consider

When evaluating support, California courts weigh factors such as:

• The duration of the marriage (long-term marriages, usually over 10 years, often result in indefinite support orders under Family Code §4336).
• Each spouse’s earning capacity and whether one sacrificed career opportunities for family responsibilities.
• Age and health of both spouses.
• Assets, obligations, and income, including investment accounts, pensions, and retirement benefits.
• The standard of living is established during the marriage.

Family Code §4337: Termination Rules

Support obligations terminate automatically upon the death of either spouse or the remarriage of the supported spouse. Retirement, however, does not automatically end support — it requires court approval through a motion to modify.

Retirement as a Material Change in Circumstances

Courts generally view retirement after age 65 as a reasonable and expected event. In such cases, retirement is recognized as a material change that may justify reducing support.

However, retirement before age 65 is treated differently. If a spouse chooses to retire early, the court may examine whether the decision was made voluntarily and in good faith, or if it was made in bad faith to avoid paying support. Without strong justification, early retirement may not reduce obligations.

In the Reynolds case, the appellate court acknowledged that by age 67, Dr. Reynolds’ retirement was not only reasonable but also inevitable given his health and career trajectory.

Actual Income vs. Earning Capacity

One of the most contested issues in modification hearings is whether the paying spouse still has the capacity to earn. Courts distinguish between:

• Actual Income: Documented wages, pensions, retirement benefits, and investment returns.
• Imputed Income: Potential earnings a spouse could make if voluntarily unemployed or underemployed.

In Reynolds, the trial court imputed income without evidence. The appellate court clarified that such imputation cannot be speculative and must be supported by credible proof.

Long-Term Marriages and Support Duration

The Reynolds case also highlights the special treatment of long-term marriages. Under California law, marriages lasting more than 10 years are considered long-term, and spousal support may continue indefinitely. This means that while retirement may justify modification, it does not automatically terminate the obligation. Instead, the court balances the payor’s reduced income with the recipient’s continued need.

The Process of Filing a Motion to Modify Support

If you are approaching retirement and want to reduce or terminate support, you must formally request relief from the court. The process typically involves:

1. Filing a Motion (Request for Order) explaining the change in circumstances.
2. Supporting Evidence such as tax returns, retirement account statements, Social Security documents, or medical records.
3. The Declaration of Income and Expenses provides a full picture of your financial situation.
4. Court Hearing where both spouses present arguments.
5. Judicial Decision based on Family Code factors and the credibility of the evidence.

This process can be complex, and even minor errors in documentation can lead to unfavorable outcomes.

Practical Considerations for Both Spouses

For Supporting Spouses (Payors)

• Document your retirement plans and financial changes in detail.
• Show efforts to remain employed until retirement were reasonable.
• Be transparent about investment income and pensions.

For Supported Spouses (Recipients)

• Prepare evidence of ongoing need, especially if you are disabled or unable to reenter the workforce.
• Challenge inaccuracies in the payor’s financial disclosures.
• Demonstrate how reduced support would affect your ability to maintain basic living standards.

Frequently Asked Questions

Does spousal support end when I retire?

No. Retirement does not automatically terminate support. You must petition the court to modify the order, and the outcome will depend on your financial circumstances and your former spouse’s needs.

Can the court require me to work past my retirement age?

No. California courts have made clear that no one can be compelled to continue working past the usual retirement age of 65 just to pay spousal support.

What if I retire early, before age 65?

Early retirement may not justify a reduction in support. Courts will examine whether retirement was reasonable and in good faith. If it appears designed to avoid payments, modification may be denied.

Will my Social Security or pension income be considered when determining my eligibility?

Yes. Courts consider all sources of income, including pensions, retirement accounts, and Social Security benefits, when evaluating requests for modification.

What if my former spouse has significant health issues or disabilities?

The court may weigh your ex-spouse’s medical needs and inability to work heavily in deciding whether support should continue.

How does a court decide if there has been an abuse of discretion?

On appeal, a decision may be overturned if it is so unreasonable that no other judge would have made the same ruling. This is a high bar and only applies in exceptional cases.

Get Legal Help with Spousal Support Modifications

If you are planning to retire or are already retired and facing challenges with spousal support, it is essential to understand your rights under California law. The experienced attorneys at Reape Rickett have decades of experience handling support modification cases, including those involving retirement, long-term marriages, and health-related limitations.

Our team can guide you through the process of filing a motion, gathering the necessary evidence, and presenting a persuasive case to the court. We serve clients across Los Angeles County and surrounding areas.

Contact Reape Rickett today to schedule a consultation and protect your financial future as you enter retirement.