How are Retirement Accounts divided?
First the retirement account must be valued. A 401(k) is easily valued, but a pension plan may need the assistance of a forensic accountant. Once the parties understand the value of the retirements, they may choose to exchange their interest in a retirement account for another asset. If each party has a retirement, then each may keep his or her own and make adjustments in the division of the other assets to equalize the division. Pension Plans require that a Qualified Domestic Relations Order (QDRO) be drafted and filed with the court. Unlike many attorneys, I draft these myself rather than sending them out, and this helps the client save money.
