1. What is Pension Accrual in Divorce?

Pension accrual in divorce refers to the portion of a pension that was accumulated during the marriage, which is considered marital property subject to division between spouses. This calculation determines the fair share each spouse is entitled to receive.

2. How Does the Calculator Work?

The calculator uses the accrual formula:

Where:

• \( Marital\ period \) — Duration of marriage during pension accrual (years)
• \( Total\ service \) — Total employment service period (years)
• \( Pension\ value \) — Total current value of the pension ($)

Explanation: This formula calculates the proportion of the pension that was earned during the marriage period, representing the marital portion subject to division.

3. Importance of Accrual Calculation

Details: Accurate pension accrual calculation is crucial for equitable distribution of marital assets, ensuring both spouses receive their fair share of retirement benefits accumulated during the marriage.

4. Using the Calculator

Tips: Enter the marital period in years, total service period in years, and the current pension value in dollars. All values must be positive numbers with marital period not exceeding total service period.

5. Frequently Asked Questions (FAQ)

Q1: What constitutes marital period for pension calculation?
A: The marital period includes all years of marriage during which pension contributions were made, from marriage date to separation date.

Q2: How is total service period determined?
A: Total service period is the entire duration of employment with the pension plan, from hire date to current date or retirement date.

Q3: What pension value should be used?
A: Use the current vested value of the pension plan, which may require obtaining a formal valuation from the pension administrator.

Q4: Are all pensions subject to division in divorce?
A: Generally, only the portion accrued during marriage is divisible. Pre-marital and post-separation accruals typically remain separate property.

Q5: What if the pension hasn't vested yet?
A: Unvested pensions may still be considered marital property, but valuation can be more complex and may require actuarial calculations.