Ohio Divorce Courts Divide Retirement Plans
Ohio divorce courts divide retirement plans. First, the domestic relations court must determine who is entitled to what portion of retirement benefits. Retirement benefits accumulated during the marriage are marital assets, and must be divided as part of an equitable division of property. Equitable division means a fair division of property.
Ohio Divorce Courts Divide Retirement Plans For A Variety Of Retirement Plans
Courts consider a number of different retirement plans:
- Federal public retirement plans, including: Civil Service Retirement System, Federal Employees Retirement System, Federal Thrift Savings Plan, Railroad Retirement Benefits, Military Benefits, and Social Security.
- Ohio State Retirement Plans, including: State Teachers Retirement System, Public Employees Retirement System, Police and Firemen Retirement System, and Deferred Compensation Plans.
- Private plans provided by an employer, including: 401(k) plans and defined benefit plans. A defined benefit plan is a pension plan.
- Plans created by individuals, including: IRAs, Roth IRAs, Self-Employed Retirement Plan.
Ohio Divorce Courts Divide Retirement Plans By Reviewing The Numbers
Plans such as 401(k)s and IRAs can be valued by looking at the current statements. Pension plans are valued by determining the present value, usually by using an expert. Contributions prior to the marriage and any appreciation from such premarital contributions constitute separate property and are not subject to division. Again, an expert is usually used to determine what portion of the retirement plan is separate property. Social security benefits must be considered when dividing public plans. This is important because a spouse who earns and contributes to a public retirement plan does not contribute to or earn social security benefits during that time.
Ohio Domestic Relations Courts Divide Retirement Plans With A QDRO
How are Ohio retirement plans divided? Usually, a Qualified Domestic Relations Order (QDRO) is used to divide a retirement plan. Ohio State retirement plans are divided with Ohio’s Division of Property Order forms (DOPO). Failure to use such forms can result in negative tax consequences.
Like This Article? Read More By Attorney Daniel Gigiano . . .
To read more, click on the following links to my other articles on property division, divorce and dissolution: personal property and real estate division for unmarried couples in Ohio, personal property and real estate division in Ohio divorces, evaluating and dividing a business in an Ohio divorce, retirement benefit issues in an Ohio divorce, and divorce and taxes in Ohio.
Attorney Daniel Gigiano. Experienced Family Law Representation.
Attorney Daniel Gigiano is a Wadsworth Divorce Attorney who regularly practices as a Medina Divorce Attorney litigating the division of retirement benefits in Medina County Domestic Relations Court, as well as other local domestic relations courts. If you have questions about this or other questions you need answered by an experienced divorce attorney, please call Attorney Daniel F. Gigiano at 330-336-3330.