Cordell & Cordell’s latest virtual town hall gives a detailed overview of how retirement accounts can be affected by divorce.[Read more…]
A divorce can lead to a division of assets that can hurt the retirement benefits that an individual receives. These people should examine how to protect their money when going through a split. Pension Calculator reported that retirement savings can be dragged into the divorce, and this can limit the amount of money that an elder individual has when they are in their post-working years. According to the news source, a pension is often among a couple’s largest assets, usually coming in second after the matrimonial home.
The process of dividing a pension plan between the former couple is a difficult process, as there is a series of factors that play into the court’s decision. These include the needs of each individual, children that are involved and the length of the marriage, according to Pension Calculator.
Fox Business reported that if a Qualified Domestic Relations Order is not drawn up, then an individual who worked and received a majority of the income would likely be forced to give half of it to their ex-spouse.
A woman has claimed that her ex-husband’s pension should be added to his alimony obligations even though it wasn’t part of the original divorce settlement. The Nevada Supreme Court will examine that claim, the Las Vegas Sun reports.
The court will hear both sides of the story of the Doan divorce. Craig Doan claims that for seven years he has fulfilled his alimony obligations to his ex-wife, but when Catherine Doan believed she also needed 50 percent of his pension, the ex-husband put his foot down. This figure was not included in the divorce decree, and Craig Doan filed an appeal.
According to the publication, the court is considering this case because it has “statewide interest” and could affect similar situations in the future.
The news source stated that, in court documents, Craig Doan said that “to take away a portion of my pension now would ruin me financially,” particularly after he stated that his ex-wife received their car and home in the divorce, as well as more than $1,100 in monthly alimony.
In Massachusetts, lawmakers are working to reform the state’s alimony system to establish guidelines for a number of payment issues, including the duration of payments, according to WAMC.