West Dundee Divorce Attorneys Help Clients with the Division of Pensions, 401Ks, IRAs
In many divorce cases, retirement accounts are among the most significant assets the couple owns. The division of retirement assets in divorce can become quite complicated, depending on the circumstances. Retirement savings and investment plans are typically considered marital property if the assets were accumulated while the couple was married. However, if there were already existing pensions, 401Ks, IRAs, and other retirement assets when the couple was married, the portion accumulated before the marriage began can be considered non-marital property.
At the Law Office of Vogel & Mourelatos, LLC, we have over 30 years of combined experience representing divorce clients in Kane County and surrounding areas. Our attorneys have helped thousands of clients with complex divorce issues such as dividing retirement assets. We understand the need to protect your financial future, and we work closely with clients to develop an asset division plan that is fair and equitable and fully protects our client’s interests.
How Are Retirement Assets Divided in a Divorce?
If a retirement account was initiated after a couple was married, then the entire value of the asset is considered marital property and can be divided equitably. If, however, you or your spouse brought retirement assets into the marriage, determining which portion of the asset is marital property may be challenging. With defined contribution plans such as IRAs or 401Ks, the marital and non-marital portions can usually be determined by reviewing past statements. Pensions, annuities, and other financial instruments may require more complex calculations.
One of the major issues to consider when negotiating a retirement account division are the tax implications. To ensure that spouses avoid tax penalties, your settlement agreement should provide for a Qualified Domestic Relations Order (QDRO) or a Qualified Illinois Domestic Relations Order (QILDRO) if the owner of the account is an Illinois public employee. QDROs and QILDROs are documents detailing how the benefit plan administrator will pay out the portion of the retirement asset that belongs to your spouse. These documents are highly technical and must include critical details to ensure they are accurate and will be approved by the plan administrator.
Speak With a Seasoned Elgin Retirement Assets in Divorce Attorney
Dividing retirement accounts during a marriage dissolution can be a hotly contested issue. At the Law Office of Vogel & Mourelatos, LLC, we put our extensive experience to work to develop innovative solutions that fully address your needs and allow you to resolve these types of issues in the most effective and cost-efficient manner possible.
For an initial consultation with one of our skilled attorneys, contact our office today at 847-428-7725 or 630-200-4882. We serve clients in Kane County, McHenry County, DuPage County, Cook County/Rolling Meadows, Algonquin, Barrington, Barrington Hills, Batavia, Bull Valley, Burlington, Campton Hills, Carpentersville, Cary, Crystal Lake, Dundee, East Dundee, Elgin, Geneva, Lake in the Hills, Pingree Grove, St. Charles, South Elgin, West Chicago, West Dundee, Woodstock, and the surrounding Illinois communities.