How is property divided, including retirement funds?
In most states, accrued or vested retirement benefits earned during the marriage are community property and subject to division in divorce, with each spouse entitled to half. The retirement benefits which are subject to this community property application include military pensions, veterans educational benefits, ERISA funds, IRAs, Keoghs, Employee Stock Option Plans (ESOPS), 401K plans, but do not include railroad retirement benefits, social security payments, compensation for military injuries, and worker’s compensation disability awards. The issue of retirement benefits should be settled one way or the other and included in the petition, marital settlement agreement and judgment per a spouses waiver of retirement benefits or the division of any such benefits. A spouse should waive retirement benefits only if that spouse’s share is worth very little. Benefits may be divided per (1) the present-day valuation buy-out (where the present-day value of the retirement benefit is converted in
In most states, accrued or vested retirement benefits earned during the marriage are community property and subject to division in divorce, with each spouse entitled to half. The retirement benefits which are subject to this community property application include military pensions, veterans educational benefits, ERISA funds, IRAs, Keoghs, Employee Stock Option Plans (ESOPS), 401K plans, but do not include railroad retirement benefits, social security payments, compensation for military injuries, and worker’s compensation disability awards. The issue of retirement benefits should be settled one way or the other and included in the petition, marital settlement agreement and judgment per a spouse’s waiver of retirement benefits or the division of any such benefits. A spouse should waive retirement benefits only if that spouse’s share is worth very little. Benefits may be divided per (1) the present-day valuation buy-out (where the present-day value of the retirement benefit is converted i
