Most people work a good portion of their life to ensure that they can retire comfortably. If you go through a divorce at some point, it will have an impact on your retirement savings.
Dividing retirement assets during divorce can be challenging. There are many questions to answer, as well as two people who will do whatever possible to get a fair deal.
It is a common myth that a fair distribution is a 50-50 split of all retirement funds. This is not always true, especially if there is more than one account to take into consideration.
Some of the most common retirement vehicles include:
— Individual retirement accounts
— Savings plans
All of these offer people a way to save money for retirement. On the same token, all of these will be taken into consideration during a divorce.
Valuing retirement assets can be challenging, especially with some types, such as stocks and bonds, which change in value on a daily basis.
There are steps you can take to get through this part of the divorce process without much hassle. You never want to find yourself losing money, but you cannot expect to receive all retirement accounts during a divorce.
If you are thinking about divorce, you should also be thinking about how your retirement assets will be divided. There are questions to be answered and details to address. Those who need more information and advice can browse our website. Our “Division of Retirement” webpage can point you in the right direction, helping you better understand your situation.