The more retirement assets that are out there, the more complicated this can ultimately become. In some cases, multiple retirement plans might end up being divided in some manner. In other cases, it might be more be more simple and it might simply be one or two retirement benefit plans.
Either way, it’s important that parties take a long and hard look at this with their attorney prior to and after the completion of their case. For many parties, they might not understand that additional steps need to be taken after the divorce to divide these benefits. For other parties, they might be so anxious to move on with their life that they might overlook this part of their divorce.
Certain retirement plans require the use of a Qualified Domestic Relations Order (“QDRO”) to divide the retirement benefit plans. On the other hand, certain retirement plans (like IRA’s) often do not require QDROs to divide them. Instead, assignments are often used to assign a portion of the benefits.
Having said that, every retirement plan is different and it’s important to talk with an attorney about the particulars in your case. Retirement benefits often comprise a significant portion of married couples’ estate. This is why it is important to make these retirement accounts are not forgotten about at the conclusion of a divorce.
If you are going through a divorce and have retirement benefits, Stange Law Firm, PC can help. You can call us at 1-855-805-0595.