Any retirement accounts that you and your soon-to-be former spouse share may have to be divided as a part of your divorce.
Division of pension and benefits can be tricky, and must be done correctly to ensure that you receive your full share of the fund while minimizing any potential taxes.
At Daniel H. Stock, PLLC, we have more than 20 years of experience successfully navigating the intricate financial details of divorce. We can help you forge your new path to financial independence, too.
Balancing Retirement Assets
If you and your former spouse plan to divide pensions, 401(k)s, IRAS or other retirement accounts, it is important to keep a few things in mind:
• Contributions made to retirement plans during the course of the marriage are considered “marital property” and can be divided.
• If you are dividing a pension or a 401(k) plan, you will need a qualified domestic relations order (QDRO), which is a court-ordered document outlining how the retirement plan will pay out funds to the nonemployee.
• Before you finalize your divorce, make sure you know how the payments will be made (e.g., monthly or lump sum), and what the timetable for payouts will be.
• You may also swap a retirement account for another asset of equal value; for example, one spouse may keep the retirement account while the other keeps the house.
Even once you and your former spouse settle on division of retirement assets, you still need an experienced lawyer by your side to make sure that any agreements you make are clear and complete and avoid unnecessary taxes. Attorney Daniel H. Stock has the experience you need to forge a reliable and unambiguous agreement that will help you move forward with strength.
Get Smart About Your Financial Future. Make an appointment to speak with divorce lawyer Daniel H. Stock by using our contact form or by calling us at 475-232-4105.