Sentences with phrase «lower earning spouse»

If you are the lower earning spouse and are curious about whether your ex-spouse's benefits are more than 50 % higher than your benefits, contact the Social Security Administration who will provide you with the benefit amounts to which you may be entitled after first verifying your relationship to your ex-spouse.

The law also ensures that spouses who have sacrificed their careers to raise a family do not suffer financial catastrophe upon divorce, and that the lower earning spouse and stay - at - home parent will not be financially punished.

The orders can assist the lower earning spouse with financial help in several ways, including mortgage payments, attorney's fees, and interim child support.

Often, on applications by the lower earning spouse to increase support when their ex-spouse's income skyrockets after separation, courts might be tempted to slavishly apply the spousal support advisory guidelines but our skilled Post Separation Income Increase Spousal Support lawyers say that would be a mistake.

A court may order a higher earning spouse — whether husband or wife — to assist the lower earning spouse financially by making support payments during the divorce process and / or afterwards.

Up to half of the higher - earning spouse's eligible pension income can be in effect «transferred» into the hands of the lower earning spouse: not literally but for tax purposes.

To give you an idea of how much money can be saved, consider a couple where the lower earning spouse earns $ 15,000 and the higher income spouse earns $ 85,000 (with eligible registered pension income, CPP and OAS).

Not exact matches

Generally, the longer any marriage has lasted, the more weight it carries when judges are determining how to award a lower - earning or no - earning spouse a percentage of assets and / or alimony.

The data also shows that more women arrive in Canada as the spouses of economic immigrants or as non-economic newcomers or refugees and have lower employment rates and earn less than the average wage.

Prof. Wolfson and co-author Scott Legree of the University of Waterloo have now completed a new report, called Private Companies, Professionals and Income Splitting, to consider how much income is flowing from CCPCs to spouses or adult children who are living at the same address as the company owner, which could indicate a tax - reduction strategy by splitting income with lower - earning family members.

In general, the lower - earning spouse, usually the wife, should collect benefits early at age 62 — even though they will be reduced by 25 % or more and subject to earnings limits — and the higher - earning spouse should wait until age 70 to collect the biggest retirement benefit.

If one spouse does not work or does not earn enough to max out IRA contributions, the higher - earning spouse can contribute on the lower - earning spouse's behalf.

Women are overrepresented in low - paying jobs and earn on average 19.1 % less than their male counterparts in the same job, meaning they are unfairly disadvantaged if they have a foreign spouse.

For non-registered investment that you mentioned... Are there some tax implication if the higher income spouse earns the money and then the lower income spouse uses it to invest?

If you make contributions to a complying superannuation fund or a retirement savings account (RSA) on behalf of your spouse (married or de facto) who is earning a low income or not working, you may be able to claim a tax offset.

For example, if the higher - earning spouse in a couple stops working at age 65, the couple may drop into a lower tax bracket the following year.

Lower - earning spouses who claim their own Social Security benefit before full retirement age take a cut of as much as 25 %.

The general idea is to shift assets to the lower - earning spouse, who can withdraw more in retirement at a lower tax bracket.

This would let couples shift income from the person in a higher tax bracket to a lower - earning or stay - at - home spouse, freeing up cash and reducing a family's overall tax bill.

The credit (up to a maximum of $ 2,000 per year) is based on the net reduction of federal tax that would be realized if up to $ 50,000 of the taxpayer's taxable income was transferred to a lower - income earning eligible spouse or common - law partner.

This is because the IRS views each spouse as earning half the total income which essentially keeps more income in lower tax brackets.

As before, that means the investment income is taxed in the hands of the lower - earning spouse, at a much lower rate.

Set up a spousal RRSP The usual strategy is to set up a spousal RRSP account in the name of the lower - earning spouse, and have the higher earner make the contributions.

The wealthy know that while it may seem natural for the main breadwinner to do the investing, if the investments are made (and taxed) in the name of the lower - earning spouse, the returns are taxed at a lower rate.

The higher - earning spouse doesn't have to pay any taxes on the money he or she contributes, and when the money is withdrawn, it will be taxed in the lower - income spouse's hands at a lower rate.

If you don't really need to spend the money distributed from your Inherited IRA for your household expenses (your opening statement that your income for 2016 is low might make this unlikely), and (i) you and / or your spouse received compensation (earned income such as wages, salary, self - employment income, commissions for sales, nontaxable combat pay for US Military Personnel, etc) in 2016, and (ii) you were not 70.5 years of age by December 2016, then you and your wife can make contributions to existing IRAs in your names or establish new IRAs in your names.

As long as you leave the money in there for three years, when it's withdrawn, it will be taxed in the hands of the lower - earning spouse at a lower rate.

If one spouse has higher CPP benefits and the other spouse has lower benefits (or none), this strategy can save taxes by assigning up to half the CPP income to the lower - earning spouse.

For instance, if both of you are 60 or older and receiving CPP payments, the higher - income spouse can elect to attribute up to 50 % of his or her CPP income to the lower - earning spouse.

Don't miss these tax savings Pension splitting: You may be able to transfer up to 50 % of your pension benefits to a lower - earning spouse or common law partner.

Not only does it allow some of the RRIF income to be taxed in the hands of the lower - earning spouse, it can also reduce clawbacks on your Old Age Security (OAS) benefits.

In 2014, the Conservatives introduced this credit, which allows families with children under the age of 18 to shift $ 50,000 of income from a higher - earning spouse to a lower - earning spouse for total tax savings of up to $ 2,000 per couple.

The higher - earning spouse can also lend money to the lower - earning spouse to buy investments, but the Canada Revenue Agency's prescribed interest rate of 1 % must be charged.

Instead, the higher - earning spouse should cover all the day - to - day family expenses, like buying groceries and paying the heating bill, so the lower - income spouse can make the investments.

The benefit was taxable, generally to the lower income earning spouse or common - law partner, and was not income - tested.

A tax planning strategy whereby the higher - earning spouse transfers income to the lower - earning spouse to reduce taxable income.

With income splitting, the higher - earning spouse has less tax taken off at the top marginal rate, and more of the income for the couple as a whole is taxed at lower rates, resulting in an annual saving of $ 8,600 in income tax.

As expected, the plan unveiled by Prime Minister Stephen Harper and Finance Minister Joe Oliver in Vaughan, Ont., allows families with children under the age of 18 to transfer as much as $ 50,000 worth of income from the higher - earning spouse to the lower - earning spouse for tax purposes starting in this year.

If the combined monthly amount you and your spouse would be required to pay under Pay As You Earn is lower than the combined monthly amount you and your spouse would pay under a 10 - year Standard Repayment Plan, you and your spouse are eligible for Pay As You Earn.

However, gains from reinvesting that initial earned income are only taxable in the hands of the lower - income spouse.

For couples in different tax brackets, pension income splitting allows some of their RRIF income to be taxed in the hands of the lower - earning spouse.

Still, many lower - income - earning spouses do return to work, even if their entire salary goes to pay for daycare.

So the taxable income of the big - earning spouse has now fallen from $ 90,000 to $ 60,000, while the lower - earning spouse will now report taxable income of $ 35,000 instead of $ 5,000.

As a general rule, you are limited to a maximum of $ 3,000 for one child and $ 6,000 if you are claiming the expenses for two or more dependents, or the earned income of the spouse having the lowest income, whichever is less.

In general, the lower - earning spouse should collect benefits early at age 62 — even though they will be reduced by 27 % or more and subject to earnings limits — and the higher - earning spouse should wait until age 70 to collect the biggest retirement benefit.

I'm talking about those other people over there, the ugly ones who earn less money, marry lower - earning spouses, get offered worse deals on mortgages, and basically get hosed throughout life to the tune of about $ 230,000 in lost lifetime earnings according to some studies.

So long as an agreement between spouses meets all California legal requirements, the court will likely uphold the agreement — even if that agreement includes a waiver of support by the lower - earning spouse.

As an example, in Santa Clara County, 50 percent of the income of the lower - earning spouse are deducted from 40 percent of the income of the higher earning spouse.

It can give a spouse who holds a lower earning capacity the ability to retain financial stability if a divorce takes place.

A Hawaii court might order temporary support after a divorce is final for one of two basic reasons: to assist a lower - earning spouse with the adjustment to a less expensive lifestyle, or to assist a spouse who needs time and financial assistance to complete education or training before becoming appropriately employed.