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Understanding What Happens with Your Retirement even With a Divorce Settlement

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Retirement accounts and divorce settlements are such a confusing issue for many. We happen not to be well informed whether the ex-spouses of ours have a share of our retirement shares or not. In this post, we take a closer look at some of the things that would be worth knowing of when it comes to divorce settlements and retirement benefits.

The first thing that you should appreciate going forward is that in the event that you two had some money tied up in a retirement plan, then this has to be accounted for in your divorce settlement. You will have the funds in this account split according to the kind of retirement plan that you had. Yes, you may still be so young and far form retirement but you may still have to have the asset and savings there are in your retirement account divided in your divorce settlement anyway. It as well pays to know of the laws at play in your state like the case in California in which case there are only recognized two kinds or types of property and these are the separate and the community property. Looking at these two types of property as recognized by law, the separate property is the kind of property that belongs to one of you, it may be yours or may be your spouse’s. By and large, if you have separate property, then this is to be taken with you in the divorce.

Therefore if at all you had made some contributions in a retirement fund before you got married, then the contributions so made are counted as separate property under law and you will be free to take them with you in case of divorce. The law views such contributions one may have made to their retirement funds long before they got married, or just before you got married, to your spouse as yours and yours alone and as such will not be subject to any split in the event of a decision by the two of you to go different ways, calling it an end with your marriage. Read on for what happens in a divorce settlement where there is a community property in it. Find the best California legal separation services learn more about what is legal separation.

When it comes to community property, by basic definition these may be considered to be the kind of property that you acquired together with your spouse while you two were married, after you got married. For this reason, should you so decide to separate in a divorce and there are such items of assets that are considered community property between the two of you, then you can reach a fair agreement with each other on how to divide these or if you cannot, then the courts will help divide such kinds of community property. Thus the contributions you made in common to a retirement account after you got married will be considered as community property and will have to be split in the event of a divorce. You can read more on this here: https://www.huffpost.com/entry/divorce-lawyer-advice_n_4661934.