North Carolina law often considers these assets to serve as dually-possessed property. That means undergoing your divorce may leave you with fewer financial safety nets than you initially anticipated.
That, however, is where a North Carolina divorce attorney comes into play. If you have questions about how you can effectively divide your retirement benefits without sacrificing your years of hard work, representatives in the area can go to work for you.
Divorce and Your Retirement Benefits
As a person undergoes a divorce, they need to consider all of their retirement safety nets as shared marital property. This is the case even if one partner worked while their spouse did not. In most divorces, North Carolina courts consider all of the following assets to be available to both parties in a relationship:
- Pension plans
- Work-related retirement programs
- Tax-deferred saving programs
To distribute these funds between two interested parties, attorneys recommend turning to a Qualified Domestic Relations Order, or QDRO. This document helps each divorcee calculate how much they should receive from the aforementioned assets, thereby limiting the arguments that might otherwise exacerbate the divorce proceedings.
Valuing a Person’s Retirement Funds
While determining whether or not a person has any of the aforementioned networks in place is straightforward, assessing those assets’ values is not. Fortunately, North Carolina courts have a system in place to simplify these calculations. When assessing the value of retirement funds in a divorce, North Carolina divorce lawyers must assess:
- The age of the divorcees
- The age at which the holding divorcee intends to retire
- The life expectancy of both parties
- The impact of the divorce on an asset’s value
- Contingencies and earliest-possible retirement dates
Interested parties must also consider whether or not the division of these assets may result in abrupt taxation come the next tax year.
Addressing Questions about Your Beneficiary
Finally, divorces often see the two parties remove one another from their wills. Any parties interested in altering their assigned beneficiaries, especially when retirement funds are involved, need to contact either a divorce or trusts lawyer working in North Carolina. The right attorney can not only ease a person through a divorce; these parties can also provide divorcees with the forms and advice needed to secure a happier, financially-sound future.
Schedule a Divorce Consultation with a North Carolina Attorney
Your retirement assets are meant to help you through your golden years. Dividing those resources favorably during a divorce can be complicated, but it is possible. For more information on how to effectively divide these assets—and what your rights look like—get in touch with a North Carolina divorce lawyer. The team with King Law can help you fairly address an ex-partner’s needs in court without compromising your future.
Are you ready to schedule your first case consultation? Call (888) 748-5464 or fill out our contact form to arrange a meeting with someone on our team.