Pension division allocates a defined benefit retirement plan between spouses based on the community and separate interests in the plan. Defined benefit plans promise a specific monthly payment at retirement based on years of service and salary history.
Pension division requires a domestic relations order acceptable to the plan administrator. Government pensions state, county, city, federal have their own specific order requirements that differ from private employer plans.
Two critical decisions in pension division: the share formula used to divide the benefit, and the survivor benefit election. The survivor benefit determines what the alternate payee receives if the employee spouse dies. This election can be irrevocable once made.
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