401(k) Plans & Retirement Investments

Planning for retirement often takes a dramatic turn once the parties divorce. Review of the proper allocation of retirement funds is essential. Tax implications for current contributions and future disbursements must be considered. For example, a Roth IRA would likely have a higher present value than a traditional IRA.

The variety of retirement vehicles with many persons being involved in multiple plans adds a level of complexity that requires thorough analysis of cash flows, tax implications, timing, and actuarial issues.

In evaluating the marital estate of our clients, we attempt to structure asset distributions to meet our clients’ goals. For example, some clients would prefer to trade current assets to preserve retirement funds.

Post-nuptial agreements may be prepared in an effort to save a marriage. For example the parties may set forth the terms of a divorce if certain conditions are not met. In this way, the terms of the divorce may be set forth in relative calm with the parties still seek to preserve the marriage.

Maintenance (or alimony) can be limited in these agreements. Because commingling of assets between spouses can turn martial property into non-marital property, such agreements prevent inadvertent changes to the nature of such property.