Pension, 401(k) And IRA Division

The equity earned on retirement benefits over the course of your marriage is considered community property and must be settled during a divorce, regardless of the age of spouses or length of the marriage. Certain matters related to pensions, 401(k)s, IRAs and other benefits can add complexity to how these are divided, and it is in both party's best interests to involve an experienced divorce lawyer.

At the law offices of Phillip A. Linder, we provide knowledgeable advice and skilled guidance to clients for all aspects of property division during divorce, including retirement benefits. Our legal staff can thoroughly assess the value of all retirement assets that fall under community property, including:

  • 401(k)s
  • Deferred pension plans
  • IRAs
  • Stock options
  • Military pensions and veteran's educational benefits
  • State and county pension plans
  • Federal and civil service retirement benefits

Typically in Texas, these accounts are split 50-50. However, this can vary due to court order based on earning capacities, custody of children, separate property or other factors. Also, separate arrangements can be agreed upon by both parties, and the courts will honor that in the final decree.

Protecting Your Financial And Tax Interests

When dividing 401(k)s, IRAs, pensions and other retirement accounts during a divorce, it is important to address potential tax implications. A qualified domestic relations order (QDRO) is one way to protect your financial and tax interests. Through a QDRO, one spouse can transfer a share of his or her retirement funds to the other spouse. QDROs are required for retirement plans that are subject to the Employee Retirement Income Security Act (ERISA).

Attorney Phillip Linder can work with you to determine if a QDRO is required in your situation, and help to prepare the necessary documentations to comply with ERISA guidelines and send to the plan administrator for approval. If a QDRO is not necessary or applicable to your situation, Mr. Linder will work with you to find the retirement division solutions that provide you with the greatest possible advantage.

Contact Us To Discuss Your Case

Call the law offices of Phillip A. Linder at 214-431-4617 in Dallas or at 972-649-6490 in Allen to discuss retirement account division during your divorce. If you prefer, you can send an email and tell us about your situation.