Aaron Carnine Family Law Attorney

Divorce, Parenting, Property, Adoption, Guardianship

PENSION

PENSION

A pension pays a monthly amount to a retiree upon retirement, usually for the life of that retiree.  Pensions do not reflect a defined current sum of money.  If a pension accrued during the marriage, the right to receive those pension payments upon the retirement of the retiree is marital property subject to division. The spouse without the pension is entitled to receive a portion of the monthly pension bound by the same rules and conditions as the pension holder. The spouse awarded a portion of the other’s pension will have to wait until the other is eligible for retirement before being able to receive benefits. Often, the entire pension is not marital property. A pension could have been growing for a few years prior to the marriage, in which case those amounts accrued and interest on those amounts should be considered non-marital property not subject to division. Similarly, if a divorce is final and the pension holder continues to work for many more years, those additional accruals represent non-marital property. The formula in a pension division includes the length of the marriage as a percentage of the total time the pension accrued.

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