If you have concerns about how an Ohio divorce may negatively impact your financial future, you are not alone. The process of ending a marriage will certainly have an impact on your finances, but it does not have to derail your long-held dreams for retirement. It is beneficial to consider not only your immediate well-being when making crucial divorce-related decisions, but your long-term future as well.
Everyone looks forward to retirement, but you can only make the decision to stop working if you have the financial ability to do so. Retirement accounts could be marital property, which means any savings accumulated over the course of your marriage is subject to division with your soon-to-be ex-spouse.
When and how can my spouse have access to retirement money?
You have worked hard over the years to save for your future, and the thought of splitting that money can be a difficult thought, especially if you are close to retirement age. Your ex must obtain a Qualified Domestic Relations Order before he or she can receive any retirement money, and the type of account will determine the timing of the payout.
Dividing long-term savings can be one of the more difficult aspects of property division. The following may help you understand how this process typically works:
- If the court wishes to do so, it can designate some or all retirement account assets to a spouse, child or other dependent.
- The division of retirement assets can come through a court order or through a court-approved negotiated agreement.
- The division of this type of asset does not have to reach resolution through litigation, but can come through mediation or negotiation.
Any time that marital property is in question, it is possible that your divorce could result in litigation and a stressful court battle. However, that is not your only option.
Protecting your property rights and financial future
You have the right to resolve your property division matters, including the division of retirement assets, outside of the courtroom. You may be able to reach a negotiated settlement that allows you to emerge from the divorce process with most of your retirement intact and with a strong financial future ahead.
Your financial future is at stake in a divorce, and property division matters can be complicated and stressful. You would be wise to seek experienced legal guidance as you work to protect your property rights and your financial future after retirement.