What Four Areas Should the Separation Agreement Cover to Protect the Alternate Payees Benefits Against Actions by the Participant?
Family law practitioners should never underestimate the savvy of a plan participant when it comes to circumventing the marital entitlements of the nonparticipant spouse. Attorneys must protect their clients from this conceived threat to their property. Whether representing the former spouse under a military plan, a state or federal plan, or an ERISA-governed pension plan, the separation agreement should include language protecting the client from actions or inactions taken by the participant to the client’s detriment. The separation agreement should cover at least the following four issues: 1. It should prevent the participant from taking any actions that may limit, reduce, or extinguish the alternate payee’s right to a portion of the pension benefits. 2. If the participant takes any action to the detriment of the alternate payee, the separation agreement should require that the participant make payments directly to the alternate payee to the extent necessary to neutralize the effects
Related Questions
- What Four Areas Should the Separation Agreement Cover to Protect the Alternate Payees Benefits Against Actions by the Participant?
- Can a QDRO provide the alternate payee with a portion of the participants "future" benefits under the Plan ?
- Can a QDRO provide that all of the participants accrued benefits are to be paid to the alternate payee?
