Dividing Pensions in a New York Divorce
Your Spouse’s Pension May Be Your Most Valuable Asset
For many divorcees, the so-called “golden years” of retirement can become a long journey across the rocky terrain of financial hardship. Career homemakers who divorce later on in life may find themselves facing vastly reduced circumstances in the wake of a marital breakup. For many middle-aged spouses, it is not unreasonable to fear that a divorce will leave them in financial ruin for the rest of their lives (See Lois Brenner’s Divorce book, “Getting your Share”).
In many of these cases, it is the woman who goes into her divorce on unequal footing and, therefore, must pay careful attention to the long-term consequences of how their marital property is divided. For example, many women will enter and leave the workforce due to the demands of child rearing. This may ultimately result in a lower contribution to their own pension plan – if they have one at all.
When a spouse contributes to their marriage as a homemaker or stay-at-home-parent, they may face a midlife divorce with little understanding that their spouse’s pensions may be their most valuable asset. In reality, the two largest assets that can be divided in a middle-class divorce are often the marital home and the husband’s pension. Many times, the pension is more valuable than the house they live in.
How Pensions Are Divided & Distributed in a Divorce
Many divorcing couples do not realize that pensions are considered marital assets and, thus, subject to equitable distribution. Many times, one spouse has accumulated pension benefits greater than the value of their home. While many people are aware of the possibility of dividing their house or its value, the importance of dividing a pension is not as well known– particularly since its actual distribution may be several years away.
In many cases, the division of a spouse’s pension will be one of the most complicated aspects of divorce. In fact, these issues tend to generate more appeals than any other issue in equitable distribution. For this reason, it is highly recommended that you speak with a knowledgeable divorce lawyer about pensions, 401(k)s, annuities and other deferred compensation options, including tax consequences.
Unlike bank accounts, stocks or bonds, the rights to a pension involve:
- Type and classification
- Valuation
- Distribution
- Qualified domestic relations orders
- Tax consequences
Discuss Your Options with Lois M. Brenner, Esq. Today
If have questions about pension plans and retirement assets, including how they can be divided and distributed in a New York divorce, please contact our team at Lois M. Brenner, Esq. We’re ready to put our experience to work for you.
Contact our office at (646) 663-4546 to schedule your initial consultation with Lois Brenner.
-
I just wanted to take a moment to personally thank you for the wonderful job you did mediating our separation agreement and putting this document together. You not only saved us hundreds of thousands of dollars but helped avoid what would have been a disastrous future in court. I'm grateful you did not give up on us. If I ever am involved in another situation like this, and I hope I never am, I would certainly recommend your services.- J.M.
-
“Thank you for doing such a tremendous job!”- Bill
-
Dealing with this firm was a gift from above. They were very understanding and made the whole process painless. They are open after regular work hours which was super convenient for a working professional. As a Surgeon in NYC going through this process the firm was very accommodating to my changing schedule. I am forever grateful that the firm was able to find a great solution to all issues so that everyone was taken into account and came to a responsible agreement. Thank you Lois Brenner you are the best!- Jose Loor
-
Lois acted as the mediator in my divorce, and she was absolutely excellent. It was a very difficult time for me personally, but Lois made the process as easy and painless as it could possibly have been. She listened to each of us separately, and made thoughtful and helpful suggestions. She is fair, and seemed to genuinely care about finding a solution that was best for both parties. Lois is perfectly qualified to handle this type of situation, given her background in psychology. She truly understands people, and used this ability to keep my ex-husband and I calm, and smoothly navigate a few tricky situations. I felt very understood by Lois, and think that she not just a top-quality attorney, but also a very decent person. She is responsive, and answered my emails within a couple of minutes every time. Highly rated!
-
“We saved thousands of dollars!”- Gloria
-
When my daughter was sideswiped and served with a summons by her husband we called Lois Brenner. I had met Lois when she was giving a seminar on Marriage and Finances. I thought she was really smart. I never dreamt I would be calling her to help my daughter. When we went to see her she put our minds at ease. We immediately knew she was the attorney for us. She managed to negotiate a really good settlement with my son-in-law’s attorney. She was tough and always returned our phone calls and responded immediately to our emails. We even heard from her on weekends!! She was determined to keep us out of court and guided us every step of the way. She was our Angel!!! Mary B.- Mary B
-
I am a highly successful money manager and before meeting Lois Brenner, hiring a divorce attorney was a disaster. Two previous divorce attorneys really wasted my funds, and had no savvy when it came to asset and property distribution. Lois Brenner finally fixed the mess I was in. She and her team of financial experts, including attorney Matthew Ehrlich were able to prepare an asset and property distribution that was realistic, keeping in mind tax ramifications, and important distributions and allocations. They negotiated a thorough and financially sound divorce settlement. If you have a lot of assets, just any divorce attorney won’t do. You really need someone with a lot of knowledge. Lois Brenner and Matthew Ehrlich were really impressive. Thanks!!- Michael C.
-
Lois is unlike any attorney I've worked with. Her understanding of the mental health side of my custody case was what ultimately made the difference. Absolutely exceptional.- J.W.
