When you and your spouse find yourself getting a divorce, one of the most common questions that arise is how your retirements will be handled. How will they get divided? What financial issues occur after the division is allotted? And so many more questions.
It’s common when a couple is divorcing not to understand how their retirement funds change and the long-term consequences. And to add to the confusion, each state is different in how they allot retirement funds.
There are several points we like to share for clients that they should consider during the divorce process:
- California is considered a community property state when divorcing
- Social security retirement is handled via federal law – it trumps state law and can’t be transferred or given away by the payee
- Keep in mind if there are derivative rights, your social security can be divided
- All bills and resources acquired during the marriage are to be separated equally in a divorce – but that doesn’t mean it will be split 50/50
- In a divorce agreement, there ought to be fair financial value in it for both spouses
- Consider tax implications
Arguably, there is a lot to consider with the retirement division. But when you utilize the collaborative divorce process in California, you are supported by a team of experts whose goal is to help you and your spouse find a solution that is agreeable to both of you without resorting to court litigation.
For over 17 years, working as a Family Law Attorney/Mediator in California, Kevin Chroman has helped numerous couples reach harmonious agreements on divorce, child custody and spousal support through mediation and the collaborative law process.
Reach an agreement with your spouse in the peaceful, cooperative environment created by the Law Office of Kevin J. Chroman. For a free consultation, contact us today!
Now offering Online Dispute Resolution (ODR).
Note: This information is general in nature and should not be construed as legal/financial/tax/or mental health advice. You should work with your attorney, financial, mental or tax professional to determine what will work best for your situation.
About Kevin J. Chroman
After graduating from law school 20 years ago, Kevin J. Chroman worked with another law firm for two years.
Attorney Chroman became a strong advocate for mediation and family law, and eventually moved into those practice areas and opened his own firm.