Havertown divorce lawyer Michael T. Malarick has been serving the Havertown community and Township as a divorce attorney for over 28 years. If you and your family are going through a separation in Havertown or need family law advice, call our Havertown divorce attorney today. The Law Office of Michael T. Malarick handles no-fault divorces, uncontested divorces, and contested divorces.
Havertown Divorce Lawyer: How is Marital Property distributed when a Havertown, PA couple divorce?
When a Havertown, PA couple divorce, their marital property is divided through equitable distribution. Equitable distribution does not necessarily mean equal or 50/50 distribution. The parties themselves can agree on the division of their marital property. If the parties cannot agree, the court will divide the property fairly according to the particular circumstance of each spouse. Some of the factors considered by the court in an equitable distribution of marital property are:
- The length of the marriage;
- Whether either spouse had a prior marriage;
- The non-marital assets of each spouse;
- The age, health, and income of each spouse;
- Which spouse has custody of any children; and
- The tax consequences of the equitable distribution.
For more information on divorce in Pennsylvania, call our Havertown divorce lawyer for a free consultation. Whether you agree to equitable distribution, mediate equitable distribution, or have the court decide equitable distribution, the parties must first identify their property and classify their property as marital or non-marital property. Generally, marital property is that property acquired during the marriage. Non-marital property is property acquired before marriage, after separation, or by gift or bequest during the marriage.
Next, the parties must value the property. Bank accounts can be valued by their monthly statements. Real estate should be appraised and retirement plans should be valued by a professional.
Once the marital property is identified and valued, it must be divided. The property can either be divided in kind or sold with the proceeds then distributed.
Debt is also marital property that must be identified, valued, and distributed. Our Havertown divorce attorney can help you through this situation by answering any question. Call Michael T. Malarick for a free divorce consultation.
Havertown Divorce Attorney: What happens to a Retirement Plan in a Divorce?
When a Havertown, PA couple divorce, their retirement plans are subject to distribution pursuant to a Qualified Domestic Relations Order (QDRO). A QDRO creates an alternate payee’s right to all or part of the benefits payable to a participant under a pension plan. A defined benefit plan (traditional pension plan) and a defined contribution plan (401k) are subject to a QDRO. An IRA account is not.
The first step when seeking a QDRO is to contact the retirement plan’s administrator to get a copy of your plan’s summary and statement. The plan administrator can advise whether the transfer must be stated in a dollar amount or in a percentage and whether the transfer can include all or part of the benefits.
The QDRO must contain the participant and alternate payee’s name and address and the dollar amount or percentage of benefits to be paid to the alternate payee. The QDRO may not award an amount or form of benefits that is not available under the plan.
Finally, the alternate payee may be able to roll-over the distribution and retain the tax benefits under the plan.
If you live in Havertown, PA, or any other town or borough in PA, you should contact our Havertown divorce lawyer Michael T. Malarick, Esquire, an experienced and proven divorce attorney.
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