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Ontario Spousal Support Guide: Avoid Mistakes & Secure Future

  • If a major gap exists between the income of one party and another, the one receiving the lower amount will often be eligible for support.
  • It’s important to understand that not every spouse is entitled to support.
  • Spousal Support is money paid by one spouse to another after a separation.
spousal support ontario calculator

Table of Contents

Understanding Spousal Support in Ontario

Spousal support laws in Ontario, also known as the Spousal Support Advisory Guidelines, consider various factors. These include the age and needs of both parties, the length of the marriage, each party’s contribution to the marriage, including child care and homemaking, the value of any benefits lost due to the divorce, and each spouse’s mental health. Family law provides for spousal support.

The principles of the Spousal Support Advisory Guidelines (SSAG) and legal advice serve as a good starting point for making spousal support decisions. Separation and divorce can be complicated, especially when one party must pay spousal or child support as part of the settlement arrangements. This article aims to simplify the concept of spousal support, focusing on the specifics for Ontario residents.

What Are the Spousal Support Advisory Guidelines?

Navigating the laws and guidelines related to spousal support in Canada can be challenging. The Divorce Act introduces the concept of Spousal Support, but it’s the Spousal Support Advisory Guidelines (SSAG) that help us determine the amount and duration of the support. The current SSAG was developed by two law professors with the primary goal of standardizing the calculation of spousal support amounts and duration. The Federal Department of Justice in Canada adopted these guidelines in 2008. However, it’s important to note that the SSAG is not law! You can access the full text of the SSAG here. But remember, while these guidelines are significant, they aren’t applied in every case. The judge ultimately has the final say in matters of spousal support. Nevertheless, let’s explore how the SSAG approaches spousal support to better understand the process.

How Do Courts Decide Who Receives Spousal Support?

Canada’s Divorce Act sets the standards for spousal support orders for married couples. This federal law applies to all residents across the country. However, local provinces or territories may have laws defining how unmarried couples in common-law relationships should handle spousal support.

Financial Imbalance

The primary factor determining if one spouse must pay spousal support to the other is a significant gap between the two parties incomes. The spouse with a lower income is often eligible for support. However, this is only sometimes the case. Sometimes, the court will decide that the spouse with the lower income is ineligible for support.
In addition, it is to be considered how paying spousal support to the spouse with the lower income will affect that individual. Specific questions that arise include:

Spousal Support Ontario - Calculator Two Methods

Under the SSAG, there are two main ways that spousal support can be calculated:

  • Formula 1: With Child Support
  • Formula 2: Without Child Support

Next, let’s take a general look at how each formula is calculated. Remember, these are rough estimates intended for educational purposes only. They are not exact calculations.

Formula 1: With Child Support

Is spousal support being considered alongside child support? If so, the following factors will come into consideration:

  • Each spouse’s gross income
  • The amount of the child support obligation
  • The age of the children
  • Taxes and related deductions
  • The length of the marriage or cohabitation
  • Any applicable government benefits or credits
  • The needs of the recipient spouse
  • The ability of the paying spouse to assume this financial burden

The first step is to consider how much spousal support is required and how long the paying spouse should pay it.

Step 1: How Much Support is Required?

To figure out how much spousal support is required, begin by calculating your gross income. This is the amount of money you make after taxes and other deductions. Then, subtract your monthly child support payment from that number. Also, subtract any taxes and other applicable deductions. Next, add back in any government tax credits or other benefits that apply to your case. The resulting number is known as your Individual Net Disposable Income or INDI. The other spouse will perform the same calculation, only instead of subtracting child support, he or she will add that figure to the INDI calculation. Let’s review a real-life example to simplify.

  • Spouse 1’s Monthly Gross Income: $120,000/12 = $10,000 per month
  • Cost of child support for two children: $1,777
  • Income tax paid (around 30%): $10,000 x 30% = $3,000
  • Applicable government benefits: None

Spouse 1 INDI Calculation: $10,000 – $1,777 – $3,000 = $5,223

  • Spouse 2’s Monthly Gross Income: $70,000/ 12 = $5,833.33 per month
  • Child support received for two children: $1,777
  • Taxes paid (around 20%): $5,833.33 x 20% = $1,166.66
  • Benefits receieved: $550

Spouse 2 INDI Calculation: $5,833.33 + $1,777 +550 = $8,160.33 – $1,166.66-= $6,993.67 Now that you have both INDI calculations, add them together. In this case, the sum is $12,216.67. When considering child support, the number of children makes a difference. In this case, the SSAG mandates that two children put the spouse in the 54% to 60% support range. This makes the calculation 54% to 60% of $12,21.667, which equals: $12,216.67 x 54% = $6,597.00 $12,216.67 x 60% = $7,330.00 Yet, these aren’t the final numbers. Now, you’ll subtract Spouse 2’s INDI from those numbers. With these numbers and a 60% support rate, Spouse 2 could receive a monthly support payment of up to $336.33.

Step 2: How Long Must the Spouse Pay?

Next, determine the length of time the paying spouse will provide support. In most cases, the length of your marriage will be the deciding factor. Then, you’ll establish a range of years of support, which can span from half of the relationship (lowest end) to the entire duration of the relationship. If two spouses are married for 20 years, this can range from 10 to 20. How does a judge know where in this range your payment timeline should fall? He or she will take several considerations into account, including:

  • The income-earning capacity of the recipient spouse
  • The characteristics of the children (age, quantity and any special needs)
  • The paying spouse’s ability to pay
  • The paying spouse’s work incentives
  • Any shared debts
  • Divison of any property
  • Any prior support obligations
  • Any illnesses or disabilities
  • Applicable self-sufficiency incentives

The judge will review your stance on all of these factors to set a timeline for your spousal support payments. For instance, if you don’t have any children with special needs, you (the paying spouse) and are financially able to provide the money, it’s likely that you’ll pay on the lower end of the timeline, around 10 years.

Beyond the Formulas – Additional Support Considerations - Download

When establishing a spousal support agreement according to the Spousal Support Advisory Guidelines (the “SSAG”), in addition to the formulas, you may consider:

  • Entitlement to Spousal Support
  • Amount of spousal support within the Ranges (Low, Mid, High)
  • Restructuring
  • Ceilings and Floors
  • Exceptions
  • Lump Sum Settlements
  • Other Miscellaneous Issues in SSAG

SSAG Deep Dive Direct Download here

Download
One factor that does not play into spousal support rulings? If one spouse cheated on the other. Canada has a no-fault divorce rule, which means that infidelity does not make one spouse obligated to provide financial support to another. The same applies to any reason that your marriage ended in divorce.

Step 1: How Much Support is Required?

To determine how much spousal support is required, calculate your gross income. This is the amount of money you make after taxes and other deductions. Then, subtract your monthly child support payment from that number. Also, subtract any taxes and other applicable deductions. Next, add back in any government tax credits or other benefits that apply to your case. The resulting number is known as your Individual Net Disposable Income or INDI. The other spouse will perform the same calculation, and only instead of subtracting child support, they will add that figure to the INDI calculation.

Step 2: How Long Must the Spouse Pay?

Next, determine the length of time the paying spouse will provide support. In most cases, the length of your marriage will be the deciding factor. Then, you’ll establish a range of years of support, which can span from half of the relationship (lowest end) to the entire duration of the relationship. If two spouses are married for 18 years, this can range from 9 to 18. How does a judge know where your payment timeline should fall in this range? They will take several considerations into account, including:
How long do I have to pay spousal support in Ontario?Ken Maynard CDFA, Acc.FM

The duration of spousal support payments in Ontario varies based on factors such as the length of the marriage, the age of the spouses, and the roles during the marriage. As an Accredited Family Mediator, I help couples understand these factors and determine an appropriate timeline for support payments.

What determines spousal support entitlement in Ontario?Ken Maynard CDFA, Acc.FM

In Ontario, spousal support entitlement is determined by various factors including the length of the relationship, each party’s income, and the need of the spouse seeking support. As a Certified Divorce Financial Analyst, I provide detailed analysis and advice regarding spousal support entitlement.

How does spousal support work in Ontario?Ken Maynard CDFA, Acc.FM

Spousal support in Ontario is usually paid monthly but can be in the form of a lump sum. The amount and duration of payments depend on factors such as the length of the marriage, the income of each party, and the need of the recipient. As an Accredited Family Mediator, I assist couples in navigating these complexities.

How to not pay spousal support in Canada?Ken Maynard CDFA, Acc.FM

Avoiding spousal support in Canada is a complex issue. Courts consider several factors to determine spousal support, and it’s designed to maintain financial fairness after a separation. However, there might be circumstances where spousal support may not apply. As a Certified Divorce Financial Analyst, I can guide you through this process.

What are the spousal support guidelines in Ontario?Ken Maynard CDFA, Acc.FM

The Spousal Support Advisory Guidelines in Ontario provide a framework for determining the amount and duration of spousal support. They consider factors such as the length of the marriage, the incomes of both parties, and whether children are involved. As an Accredited Family Mediator, I help couples understand and apply these guidelines.

How is spousal support calculated in Ontario?Ken Maynard CDFA, Acc.FM

In Ontario, spousal support is calculated based on factors like each party’s income, the length of the relationship, the roles during the relationship, and the need of the recipient. As a Certified Divorce Financial Analyst, I use these factors to assist in calculating a fair and appropriate spousal support amount.

Where to find a Separation and Divorce Mediator & other Neutral Professionals

If you feel my Soft Landing Divorce Settlement Method is not a good fit for you or my location is not convenient (and Virtual or Remote Location Mediation is not an option.) It is still vital that you mediate your separation and divorce.  You can find a Mediator listed at following organizations:

Other Professionals working as Neutrals

The Institute for Divorce Financial Analysts

Formula 2: Without Child Support

In the event that you and your spouse divorce without any shared children, you’ll calculate spousal support costs in a slightly different way. Let’s review the formula using the scenario above. First, add both monthly gross incomes together. This equals $15,833.33. Now, figure out the difference between those two incomes: 10,000 – $6,993.67 = $3,006.33. Finally, consider your years of cohabitation. Say these two spouses lived together for five years and were married and living together for 10 years before filing for a divorce. Thus, the total equals 15 years. With that number, you’re ready to calculate your ranges. The range for this formula is a lot lower, at 1.5% to 2%. Start by converting these percentages into decimals, so 1.5% becomes 0.015 and 2% becomes 0.02. Then, multiply the income difference by these percentages.

  • $3,006.33 x 0.015 = $45.10
  • $3,006.33 x 0.02 = $60.13

From here, multiply these numbers by your years of cohabitation. This equals:

  • $45.10 x 15 = $676.50
  • $60.13 x 15 =$901.95

From this rudimentary illustration, your monthly support payment account could run from $676.50 to $901.95.

When and How Can I Apply for Spousal Support?

Need more certainty about your timeline? That’s perfectly fine! The Limitations Act ensures you don’t need to feel pressured by a looming deadline. You can apply for spousal support at any time without worrying about a strict deadline. The only reason to start as soon as possible is that a judge will consider your genuine need when granting support.

Final Thoughts

Navigating the complexities of spousal support in Ontario can be daunting. From understanding the intricacies of spousal support payments and child support obligations to figuring out how to calculate spousal support, it’s clear that family law matters are not to be taken lightly. The amount of spousal support set must be reasonable.

It is calculated based on various factors, including the individual net disposable income of each spouse. A written agreement often called a separation agreement, is just a starting point. It outlines the terms of the spousal support order, including how much support one spouse is obligated to pay the other.

This agreement and any subsequent spousal support orders are legally binding and must be adhered to. Tools like a spousal support calculator can help estimate the spousal support amounts, but they should differ from legal advice.

Legal fees may seem daunting, but they are a necessary part of ensuring that the process is handled correctly and fairly. Remember, paying child and spousal support is not just about transferring money. It’s about providing financial support to your family, fulfilling your child support obligations, and ensuring a fair and equitable separation.

Whether you’re the one paying or receiving spousal support, it’s important to understand your rights, responsibilities, and the laws surrounding spousal support in Ontario.

It’s not just about how much spousal support is paid but also about how it’s calculated, how it’s enforced, and how it can be modified. Ultimately, it’s about ensuring that both spouses can move forward with their lives in a fair and respectful manner. And that, in essence, is the goal of family law.

Key Spousal Support Takeaways

Understanding spousal support in Ontario takes work. It uses rules called the Spousal Support Advisory Guidelines. These rules consider age, money, health, and how long a couple was married.

SSAG Guidelines

With funding from the Department of Justice, two family law professors developed guidelines to make spousal support more predictable and consistent.

Laws

A federal law, Canada’s Divorce Act, sets rules for who gets spousal support if they are married. Provincial Family Law Acts exist for couples who weren’t married but lived together.

Calculating Support

Spousal support in Ontario is based on factors like age, income, and length of marriage.

There are two main ways to figure out spousal support in Ontario:

  • With Child Support
  • Without Child Support

For the “With Child Support” method, many things are considered, like income, kids’ age, and length of the marriage.

Duration

How long support is paid is mainly decided by how long the couple was married. The range can be half the time they were married up to the whole time they were married. Many things are thought about, like the ability to earn money and any shared debts.

Extra Points

Other things like cheating don’t matter in spousal support.

Timeline

You can apply for spousal support at any time. The Limitations Act says there’s no strict deadline. But the sooner, the better.

At DTSW:

We understand that you might be feeling overwhelmed right now, navigating the intricacies of spousal support in Ontario. As a team of Family Mediators and Certified Divorce Financial Analysts, we deeply empathize with the emotional turmoil and confusion you may be experiencing.

That’s why at Divorce the Smart Way (DTSW), we’re dedicated to providing a compassionate, clear, and comprehensive approach to assist you through this challenging time.

Our Soft Landing Divorce Settlement Method is designed to turn complicated issues such as spousal support into manageable steps. We consider all aspects of your situation, from the financial implications to the emotional toll, and work with you to develop a plan that addresses your unique needs and circumstances. You’ve taken an important first step by seeking out information, and for that, we commend you.

Your journey towards understanding and clarity doesn’t have to stop here. We invite you to Schedule a Get Acquainted Call. It’s a great way to get to know us and understand how our specialized skills can ease your path through this process. You’re not alone in this journey, and with the right support and guidance, you can navigate this challenging time with dignity and confidence.

We’re here for you, ready to help guide you towards a soft landing in the face of these turbulent times.

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About the Author:
Ken Maynard CDFA, Acc.FM

I assist intelligent and successful couples in crafting rapid, custom separation agreements that pave the way for a smooth transition towards a secure future. This efficient process is achieved in about four meetings, effectively sidestepping the excessive conflicts, confusion, and costs commonly linked to legal proceedings. Clients have the flexibility to collaborate with me either via video conference or in-person through a DTSW associate at any of our six Greater Toronto mediation centers, located in Aurora, Barrie, North York, Vaughan, Mississauga, and Scarborough.

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