Protecting Your Financial Future
Many people rely on retirement savings to provide for them in their old age, and the way retirement accounts are divided during a divorce will have a major impact both on the age at which you can retire and your retirement lifestyle. Even if one spouse earned all the income during the marriage, his or her retirement account may be subject to division in a divorce.
Certain types of retirement assets must be divided by a qualified domestic relations order (QDRO). A QDRO is a court order that maintains the tax-exempt status of retirement account holdings and dictates how retirement assets are divided and how account administrators are to pay benefits upon retirement. Without a QDRO, the payment of certain retirement benefits to a party may result in that party being deemed to have received income and trigger tax penalties or a tax liability.
Valuing Retirement Assets for Fair Property Divisions
Retirement assets are oftentimes the most valuable assets individuals hold. However, placing a precise value on these assets can be challenging.
As a former business transaction and financial law attorney, Mr. Hart is innately familiar with the nuances involved in valuing financial assets. Today, Mr. Hart’s clients benefit from his knowledge and experience during the asset division portion of the divorce process.