Like every asset in your marriage, pension plans, 401(k)s and other retirement accounts must be divided during divorce. However, because there can be tax penalties for withdrawing or transferring some of these accounts, it's critical for lawyers to give them special attention during the asset division process.
Rinella and Rinella, Ltd., is the oldest family law firm in Illinois, and we have more than 100 years of combined experience handling division of assets. Our Chicago attorneys know what additional steps must be taken during the division of retirement accounts, so you can rest assured knowing your finances will be protected.
How Are QDROs Used To Transfer Funds?
In most situations, once you have earned a pension, it cannot be taken away to pay people to whom you owe money. However, when you get divorced, your pension and other retirement benefits can be divided, which is done using a qualified domestic relations order (QDRO). QDROs specify the amount that should be paid to the other party, the percentage that should be paid or the formula that will determine the amount.
Our attorneys know how to make sure funds are transferred correctly using QDROs. We also work with our clients to determine the best way to receive those funds. Some individuals receive a full payment on a certain date (shortly after the divorce or sometime into retirement), while others receive multiple payments.
Contact Us Today
Whether you are concerned with how your retirement plan will be divided or want to make sure you receive a fair portion of your spouse's accounts, we can help. Learn more about the representation we offer by scheduling your initial consultation online or by calling 800-699-5181.