As an experienced Saratoga Divorce Attorney, I am often asked how two pensions are handled when both parties are unsure when they will retire.
- When both parties are close in age and each had a defined benefit pension plan that would pay a monthly benefit upon retirement, the first spouse to retire faces certain difficulty.
- When the first spouse retires, their retirement income could be reduced by half – with the other half of the pension going to the other spouse. If the second spouse does not retire, the spouse who did retire will not receive their share of the other’s retirement, but several solutions are available.
- A separate interest pension option can ensure that each party receives their share of each pension.
- If the two pensions are equivalent in value, each party can simply waive their right to the other’s pension.
- If the pensions are not equivalent in value, an expert can value both pensions and guide the parties in dividing them.
Are you and your ex spouse dealing with a pension issue post divorce? Contact dedicated Saratoga Divorce Attorney Jean Mahserjian for legal advice.