Defining the QDRO-related terms you need to know.Read More
The right time to think about securing your share of retirement funds in a divorce is at the beginning of the divorce process. Retirement savings can be an important bargaining tool as you divide your assets, and retirement savings can be used to pay spousal and child support payments.Read More
There is a lot to think about after divorce, and that includes thinking about your Qualified Domestic Relations Order(s) (QDRO), which will divide your retirement plan(s). You may have questions after your QDRO is filed and sent to your retirement plan: What are both parties’ rights, responsibilities and next steps? What should the participant (aka member or employee) and the former spouse (aka nonmember, alternate payee, payee) expect and do?Read More
There are several types of retirement benefits that you or your spouse may have. The IRS provides descriptions of the different plans here. The most common plans are defined benefit plans (think: pensions), defined contribution plans such as profit sharing plans and 401k’s, and IRAs. Most mid to large employers have two types of plans for their employees – a defined benefit plan and a defined contribution plan.
Your first inquiry is determining whether all or any of the retirement asset is marital or community property. The asset is all or partially marital or community property to the extent employee or employer contributions were made during the marriage.
Then you basically have two choices. You can either divide the retirement benefit or you can figure out the value of it (equalize) and offset it against some other marital asset.Read More
When you get a divorce, the only way to get money paid from one spouse’s retirement account to the other spouse is with a QDRO. Learn what they are and how to get one.Read More
Do you have a 401k? A military pension? Is your spouse a federal employee, or a police officer? Did you know that getting a divorce doesn’t automatically divide your retirement assets?
Looking for more tips on how a QDRO works and why you might want to use one? Sign up for a free subscription to read on and learn more.Read More