Have you worked a significant part of your life accumulating a pension? Your pension has most likely been a source of personal pride for the work you have done. This may be due to the very nature of the work you did. Pensions often come from challenging and often risky jobs, such as firefighters, military personal, police officers or teachers. Due to the nature of work in these professions, pensions may feel like a deserved bonus for the stressful work you accomplished while on the job. But when it comes to divorce, what you earned with that pension while married is shared property.
That is right, you should consider any retirement benefits or pension that you earned while married will be split into two halves during the divorce.
When it comes to pensions and divorce, you may want to keep these things in mind:
How come the pension that I earned will have to be shared with my ex-spouse?
One way to look at your pension is to view it just like a checking or savings account. Every dollar that was put into it during the marriage will be dispersed equally just like every other asset that was accumulated between both spouses during the marriage.
Is it automatic that I will only receive half my pension after the divorce?
The amount of your pension that will be divided during the divorce is only the amount that you accumulated while married. If you were only married one year but have been contributing to the pension for 25 years, only half the amount of the last year will be available to your ex-spouse. One thing to keep in mind, there are a variety of formulas that can be taken into consideration, so it is best to discuss this with your attorney.
How can I keep my full pension after my divorce?
There is no reason why you can’t negotiate your pension as part of the asset division during the divorce proceedings. You may find that you and your soon to be ex will be engaging in some give and take when it comes to the assets. If you have something of equal value as what your spouse would get from the pension, that item may be allowed to be given up in full in exchange for your full pension.
Your financial security can be one of the biggest worries you will have while going through a divorce. A pension which you may have thought was there for you in the future, could now end up being a less satisfying payout. If you are an older adult who has accumulated a large pension, when it comes to divorce, your pension is just as much part of the divorce negotiations as anything else from your marriage.