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What to know about our 401ks and divorce

On Behalf of | Mar 23, 2021 | High-Asset Divorce

Once you decide to file for divorce in California, your spouse can be eligible for their share of your 401k. Dividing retirement accounts is one of the most lengthy and complicated parts of the divorce process. Any funds that were contributed to the 401k during the marriage are considered to be marital property and can be divided between both spouses during a high asset divorce. If your spouse has a similar amount of money in their 401k account, then you may each be able to keep your individual 401k account if both parties agree.

How to protect your 401k after filing for divorce

You can protect your 401k account from your spouse after filing for divorce by discussing your plans with your administrator. You may also consider keeping your 401k and giving your assets to your spouse. Take an inventory of your assets and debts while also sorting out mortgage and rent payments in advance. Changing your will can also prevent your spouse from serving as a trustee or estate administrator to keep more of your money and assets.

Who can you contact for legal assistance?

If you need legal assistance once you decide to file for divorce, obtain the services of a divorce attorney. They can inform you of your rights and assist you in navigating the divorce process while informing you of your rights. You can also consult an attorney for other matters that include premarital agreements, legal separation agreements, and marital property settlements. You can even use legal representation if you want mediation during a divorce to make the process quicker, less formal, and more affordable. Your needs can be addressed as an attorney works hard to find innovative solutions that work in your favor.