This bill amends existing laws regarding alimony and disposable military retirement pay. It clarifies that disposable military retirement pay is excluded from gross income for alimony calculations and is not considered marital property subject to division. Specifically, the bill defines "disposable military retirement pay" and states that it is the total monthly retired pay of a retired member of the uniformed services, minus certain deductions. Additionally, the bill stipulates that alimony payments sourced from disposable military retirement pay will terminate or be suspended when the payor reaches full retirement age or actual retirement, with certain exceptions.

Key changes include the deletion of the previous definition of exclusions from gross income and the insertion of a new definition that explicitly includes disposable military retirement pay. The bill also introduces a new section that distinguishes disposable military retirement pay from other military retirement benefits, ensuring it is not treated as marital property. The effective date for these changes is set for July 1, 2026.

Statutes affected:
Introduced: 458:19, 458:19-aa, 458:16-a
HB1263 text: 458:19, 458:19-aa, 458:16-a