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Grahovac v. Grahovac6/8/2004
INTRODUCTION
Susan D. Grahovac appeals from the decision of the district court for Sarpy County, Nebraska, on Michael G. Grahovac's petition to modify a decree of dissolution as to child support and alimony. The district court granted the modification and reduced Michael's child support and alimony obligations.
FACTUAL AND PROCEDURAL BACKGROUND
Susan and Michael were married on April 2, 1983. The parties have two children: Ryan, born November 13, 1989, and Rachel, born October 16, 1991. A decree of dissolution of marriage was entered on January 15, 1999, and a property settlement agreement was incorporated as part of the decree. The parties agreed Michael would pay alimony of $675 per month for 84 months or until he paid $56,700.
At the time of the decree, Susan earned approximately $750 per month working at Methodist Hospital and Michael earned approximately $100,000 per year working at Physicians Mutual Insurance Company (Physicians Mutual). The decree awarded Susan full custody of both children, with Michael's visitation being in accord with Wilson v. Wilson, 224 Neb. 589, 399 N.W.2d 802 (1987). Michael was ordered to pay monthly child support of $1,550 for two children and $1,100 for one child. No child support worksheet was adopted by the trial court and attached to the decree.
Michael filed a petition for modification of the decree on April 15, 2002, to reduce child support and alimony because of a material change of circumstances. At the modification hearing, Susan's pay stub from her employer, Blue Cross Blue Shield, was submitted, showing her 2002 gross bimonthly earnings to be $1,262.50. Michael testified that he took "early retirement" from Physicians Mutual and that his employment there ended December 31, 2000. His severance package included 1 year's salary, $106,530, paid during 2001 according to his tax return. Michael was 58 years old at the time of the modification hearing. He testified that he had worked for Physicians Mutual for 31 years and that he had attended college for 2 years.
Michael testified that after retiring, he hired an employment consultant, but that he did not have any interviews or receive any offers until July 2002, when he obtained a job as a courier with Capital Express. His gross income with Capital Express is approximately $650 to $800 every 2 weeks. He is considered an independent contractor, so he pays his own expenses, including gas, insurance, and vehicle payments. Michael also receives a pension of $1,860 per month from Physicians Mutual. Michael's 2001 income tax return shows that in addition to his severance package, he also had income of $49,452 from a pension. Michael testified that his 2001 disposable income was approximately $131,000.
Michael testified that he has had a problem with alcohol and that at the time of the decree, he was a "practicing alcoholic." Further, he admitted that he has received inpatient treatment for alcoholism in the past but that since January 1, 2001, he has not had any inpatient or outpatient treatment. Michael said that he has attended Alcoholics Anonymous for 10 years and has been sober since March 1, 2002. Summarized, the evidence shows that Michael's drinking was a significant factor in both Physicians Mutual's decision to offer him early retirement and his decision to accept the offer.
The trial court found that both parties had a "substantial change" in income that constituted a material change in circumstances, which justified a reduction in Michael's child support and alimony obligations. Consequently, the court reduced child support to $785 per month for two children and $550 per month for one child. Michael's alimony paymen
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