RETIREMENT
PLANS IN WASHINGTON DIVORCE
Pension and
retirement benefits are generally
considered property subject to
distribution by the Court in a
dissolution action, whether or not the
benefits are vested. The law
considers these benefits to represent
deferred compensation. This means
they were accrued during the marriage and
belong to the marital community, rather
than to the spouse whose employment
generated them.
There are many
retirement benefits to consider in a
property division, including IRA's,
pension plans, 401K's, stock options,
sick leave and deferred compensations.
A pension plan can
be divided in two primary methods.
First is to find the present value of the
future stream of benefits, by sending the
information to an actuary, who uses life
expectancy tables and projected interest
rates to determine its value in todays
dollars. This benefit can then be awarded
to one spouse and offset with other
assets to the other spouse. The
other method is to use a Qualified
Domestic Relations Order (QDRO) to divide
the benefit now, so that both spouses
will share the benefit at retirement age.
This QDRO can award a spouse an interest
in a retirement benefit without incuring
any present tax or penalty.
Washington State
pensions, including Public
Employees' Retirement System (PERS),
Teachers' Retirement System (TRS), School
Employees' Retirement System (SERS), Law
Enforcement Officers' and Fire Fighters'
Retirement System (LEOFF), Washington
State Patrol Retirement System (WSPRS),
Judicial Retirement System (JRS), and
Judges' Retirement Fund (JRF), all
require special statutory treatment for
division. Specific information on
these pensions can be found at the
following web page http://drs.wa.gov/member/division.htm.
A family law
attorney can advise you on how retirement
benefits can fit into a fair division of
assets, and help in getting them valued.
Our firm consist of three
lawyers, Peter W. Mogren, Ronald E.
Glessner, and Ruth A. Roti. Our
emphasis is in family law, wills and
probate, and personal injury.
Please click on the topics above for
details about these areas of practice,
including divorce, legal separation,
property division, child support, spousal
maintenance, parenting plans,
modifications, paternity, adoption,
wills, Community Property Agreements,
Durable Power of Attorney, and probate.
Our firm is conveniently located
in Renton, King County, Washington, just
off the freeway at the intersection of
I-405 and I-167. Our attorneys
represent clients throughout the State of
Washington, including the communities of
Renton, Kent, Tukwila, Seattle, Bellevue,
Auburn, Maple Valley, Federal Way, Des
Moines, Burien, SeaTac, Enumclaw and most
of south King County.
The free
information contained in these pages
is not
intended to be legal advice, and does
not create an attorney-client
relationship. You should always
consult with an attorney before
taking any action. Feel free to call
us at 425-255-4542.
