Retirement Benefits in Divorce

For over a decade, attorney Anthony J. (Tony) Vetrano, at the King of Prussia law firm Vetrano & Vetrano, has been preparing court orders that transfer retirement benefits.

His clients are often other lawyers who are more comfortable having such orders prepared by someone more familiar with this specialized work.

Transferring Retirement Benefits

Many divorces call for the transfer of retirement benefits from one spouse (or former spouse) to another.

Such transfer can occur only via a court order that complies with the law. The order is submitted to the retirement plan’s administrator who then transfers the benefits in accordance with the order.

Examples of the persons whose retirement benefits can be transferred are: private company employees, state government employees, federal government employees, military personnel, and railroad employees. For those who divorce later in life, transfer of benefits is also an important concern. Different retirement plans are governed by different laws. And, in each case, the law is extensive and complex. Preparation of the court order requires familiarity with such law.

Valuing Retirement Benefits

Often, the decision on the amount of benefits to transfer must be preceded by determining the benefits’ value. (Retirement benefits, like any other marital asset, must be valued.) For example, if the retirement benefits an employee has accrued mean that at retirement the employee will receive $4,000 per month, the question is: What is the value, today, of such future stream of payment? Also, the value of benefits can sometimes be offset against the value of other marital assets.

Mr. Vetrano has determined the value of benefits for all types of retirement plans. In addition, Mr. Vetrano has also benefited his clients by uncovering errors in valuations done by others, including actuaries and accountants. Such error has extended to tens of thousands of dollars, and sometimes more.

Contact Anthony J. Vetrano for a consultation on any concerns you have about retirement benefits in your divorce.