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Easing the tension surrounding divorce and family law issues with high-level service in a stress-free environment.

How can you protect your pension during a divorce?

On Behalf of | Dec 15, 2020 | Blog, Divorce Mediation |

When you file for divorce in California, it can seem like everything’s up for grabs. You don’t mind giving up some assets, but you want to keep as much of your pension as possible. You worked for years to earn your retirement fund. Why should you lose half of it in a divorce?

Fortunately, there are ways you could keep some or all of your pension during a divorce. Here’s some tips on protecting your retirement fund.

How can you protect your pension during a divorce?

Typically, the goal of property division is to ensure that each party walks away with an equal share of assets after the divorce. However, that doesn’t mean that you have to divide all your assets in half. In fact, you might be able to give your former spouse a different asset in exchange for keeping your retirement fund. For example, you might agree to give your spouse one of your vehicles in exchange for keeping your entire pension.

You might also be able to name your spouse as the beneficiary of a different asset in exchange. For example, you could take out a life insurance policy and make your former spouse the beneficiary so they’ll receive a payout after their death. If it’s the same amount as your pension, they might be satisfied by this offer.

Additionally, if your spouse already has their own retirement fund, you might be able to agree to leave each other’s funds alone and move on to other issues. Through the process of mediation, you might find it easier to come to an agreement that leaves everyone feeling like they got the best deal.

How can an attorney help you during your divorce?

If necessary, an attorney could represent you in court during a divorce trial. However, an attorney could also prevent the case from going to trial in the first place. Through the process of mediation, an attorney could help you and your former spouse negotiate without getting in a heated battle. You may be more willing to compromise and keep your own assets.