Among the many assets divided in a property settlement in divorce, retirement benefits such as a pension or 401(k) are one of the largest. Under federal law, a Qualified Domestic Relations Order (QDRO) may be entered by the court to ensure a divorcing spouse receives a portion of the pension, 401(k) or retirement account accumulated during the marriage.
Dividing a retirement account, 401(k) or pension using a QDRO is a highly sophisticated and often complex procedure, so working with an experienced Arizona divorce attorney is essential to ensure all requirements are met and procedures are followed properly.
Creative Paths to Fair Solutions
If both spouses have separate retirement accounts, pensions or 401(k) accounts, the courts usually divide these assets between the parties. However, parties may also develop creative property settlements in negotiation or mediation that trade one asset for another, resulting in equitable property distribution.