Dividing Retirement

While except under specific circumstances the money can still not be accessed by either spouse for spending without suffering a tax penalty, the account can be divided and a portion transferred to the alternate payee spouse without tax penalty for the transfer. For example, some 401k plans are exempt from the 10% penalty provided the transfer is occurring incident to a divorce. Thus, two retirement accounts are created where previously there was only one account without penalty to either spouse by way of a Qualified Domestic Relations Order. At TLC, an experienced family law attorney can assist you in drafting and obtaining your Qualified Domestic Relations Order. Please visit our home page (www.tlclawco.com) for additional information about our divorce lawyers.