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.
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Lois Brenner is a remarkable attorney and compassionate advocate for dads. She guided me when I was confused and didn't know what to do to get shared custody of my daughter. She encouraged me to stay strong and to fight, and she negotiated a much better custody arrangement than my previous lawyer. What great attorney. Thank you Ms. Brenner- Christoff
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“Keep up the good work!”- Jonathan
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“Thank you for doing such a tremendous job!”- Bill
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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!
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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.
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Connecting with Lois was the best thing that could have happened during what has been very difficult and fraught divorce. Lois took on my case with knowledge, wisdom and care that have been above and beyond in every way. She recognized abusive and unstable behavior in my ex-husband, and offered both strong legal guidance, as well as personal encouragement and strength to stand up to him. Her support has been invaluable to me, and I am so deeply grateful for everything she has done in helping forge a better more stable future for me and for my son.- SC
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I utilized Lois's services for divorce. She was most helpful in all aspects. First, she explored reconciliation, which was the right thing to do. Absence of that, her suggestion of what to negotiate for, how to do it without unnecessary anger & hostility to the ex & how to expedite the process was invaluable. Timewise she was excellent & sympathetic to what I was going through. She was always available & her fees were very reasonable. I would strongly recommend her as a divorce /representative attorney.
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Thank you Ms. Brenner! It was a rough summer trying to get our parenting agreement together.but you really helped. My ex-husband and I fought all summer about what the children's schedule would be once school started. Your endless guidance and productive sessions with us made all the difference. You straightened us out with your sound, caring advice. We both feel better now. Our kids feel better too. Thank you, thank you. We hope you had a great summer. We will recommend you highly to anyone needing a family law attorney.- Brenda
