When thinking about a subject for my latest blog pensions and pension sharing orders were not at the top of my list. Let’s face it, pensions are not in any context an exciting subject. So how do I make pension sharing orders sound interesting or sexy particularly in relation to divorce?
A recent report on the underuse of pension sharing orders on divorce seems to imply that most people including solicitors and judges would agree with me. Pensions can be complex and are often misunderstood unless you are an expert on the subject of course. The use of pension sharing orders often requiree expert valuations and reports. These can be expensive especiallyif you limited assets.
However, next to the family home a pension is often the biggest asset in your marriage and in some cases may be your only asset. It is essential therefore if you are getting a divorce, whatever your age that you get your pensions (including state pensions) valued so that they are considered in the overall settlement. There are several ways of dealing with pensions on a divorce including a trade off for another asset (known as offsetting) and pension sharing orders. They are all a valuable tools in settlement negotiations especially if you want to achieve a clean break. Whilst the time, costs and fees involved on getting pensions valued and obtaining specialist advice on them may appear a deterrent, in the long run it can be a very worthwhile exercise.
Ok – pensions and pension sharing orders are still unexciting. However, they can be valuable both in their worth and as a useful way of splitting assets on divorce. So don’t ignore them just because they aren’t sexy!
For expert advice on pension sharing or you are thinking about getting a divorce call me, Karen Weiner on 01923 521003 or email me at email@example.com