Alimony payments will fall under new tax rules starting in 2019. That could mean big changes for your retirement accounts.
It's all a part of the Tax Cuts and Jobs Act that was ushered in by Congress late last year.
Under the new regulations, the individual who pays alimony to an ex-spouse will no longer be able to deduct those payments. And the recipient of the money will no longer pay taxes on that income.
The law applies to divorce agreements that are formed after the New Year.
"If you were already getting alimony and you were going to get it another 20 years, the new law doesn't affect you," said Ed Slott, founder of Ed Slott & Co.
But if you divorce after Dec. 31, it will mean changes to how those payments can be made and what you can do with the money received when it comes to your retirement accounts.