Divorce will have a significant impact on finances, including pensions. Marriage breakdown is very stressful and can be very costly and can involve legal fees, a new home and possibly new childcare costs.
Pensions and divorce
After the family home, pensions could be second largest asset that couples have. Despite this, many individuals focus on the tangible assets such as the house and car(s) rather than looking at splitting pensions.
The downsides of ‘DIY’ divorces
Not all divorces end on bad terms and some couples are able to work out an agreement without a solicitor. This is a much cheaper and faster way of getting divorced. However, this could mean pensions are forgotten.
Why women should not neglect pension sharing
Women may have little or no pension pot due to taking time out of work to raise children or care for elder family members. If they do not consider a pension sharing order when getting divorced then they could be left with only the State Pension when they come to retire.
Agreeing a fair separation of pensions is vital to ensure that all assets are split equally in divorce.
Seeking expert help when getting divorced will enable women to know exactly how much they are entitled to.
How can a pension be shared?
There are several ways that pensions can be split when getting divorced. At Four Wealth Management, we can explain to you the options that are available to you to help you understand how your retirement income could be negatively impacted when you get divorced.
Book a no-obligation meeting online or call us on 0117 973 0500.
