divorce finances, pension value
Discussion
Looking like the big D is imminent after 24 years, and as I'm the only one with a pension its going to be my final salary pot that's going to get split. My question is do the pre marriage years of contribution count? I started paying in in 1985 and wed in '93. It's only 8 years worth but will still make a difference when all our assets get added up. Also would I be expected to draw a lump sum from it to give to her or will she get a percentage of it when I start to draw it (in about 4 years).Would prefer a final settlement rather than giving her money every month after the divorce. Going to solicitors after xmas as she doesn't want to start anything when the kids come back from uni. She's stayed in the family house and I pay every single bill.
I got divorced 8 years ago, i too had a final salary pension, she had none and had financially never contributed to the house we lived in.
The actual "pension pot" is calculated by your pension provider to the date you ask for the valuation not it's value looking forward.
The actual amount "owed" to the spouse is agreed between the two parties, and in my case it was from the marriage date to the date I left home.
I decided that I wanted to keep the 50% value of my pension "owed" to her which to do so meant it came out of the value of the house, this was better for her as she effectively got her money up front with no entitlement going forward.
I could have said that I wanted my 50% of the house and she could have had the 50% of my pension and lump (calculated to date I left home) via a pension sharing order, but I'm glad i didn't, a clean break worked best for me.
The actual "pension pot" is calculated by your pension provider to the date you ask for the valuation not it's value looking forward.
The actual amount "owed" to the spouse is agreed between the two parties, and in my case it was from the marriage date to the date I left home.
I decided that I wanted to keep the 50% value of my pension "owed" to her which to do so meant it came out of the value of the house, this was better for her as she effectively got her money up front with no entitlement going forward.
I could have said that I wanted my 50% of the house and she could have had the 50% of my pension and lump (calculated to date I left home) via a pension sharing order, but I'm glad i didn't, a clean break worked best for me.
ironv8 said:
Not according to the link below, only the pension accrued AFTER marriage is divided.
Expect it to be the whole lot....mine was...(18 month ago)21 yrs married - 8 years of contributions prior to meeting all was included up to the point the divorce papers were served.
It will be dependent on your other circumstances as to how much will be passed to her... I had to hand over 24% (she had some pensions of her own) and had to pay half of the admin fee to my pension provider to facilitate it... that "admin" fee was just over £2k in total... seems like a lot of admin should have been done for £2k...
ironv8 said:
PurpleMoonlight said:
For a 24 year marriage it will be the whole lot up for division.
Not according to the link below, only the pension accrued AFTER marriage is divided.A short marriage tends to exclude accrual before marriage, but a long one would include them.
A friend has just divorced her hubby. 14yr marriage, she was part time for most of it having 2 kids between them.
His position was clear, settlement without including his 30yr nhs pension as she had her own NHS pension. Judge disagreed, and 31%of his entire NHS pot as it stood this year (£545k value in terms of annuities ) to be transferred immediately after court by written settlement and him to pay fees for doing so. House equity split 60/40 to her, joint debts split 50/50 out of equity of house sale. Pension can't be claimed obviously until retirement is taken but it will make a fair difference to them both.
Kids cost money in many ways!
His position was clear, settlement without including his 30yr nhs pension as she had her own NHS pension. Judge disagreed, and 31%of his entire NHS pot as it stood this year (£545k value in terms of annuities ) to be transferred immediately after court by written settlement and him to pay fees for doing so. House equity split 60/40 to her, joint debts split 50/50 out of equity of house sale. Pension can't be claimed obviously until retirement is taken but it will make a fair difference to them both.
Kids cost money in many ways!
Edited by 200Plus Club on Monday 27th November 10:39
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