Dividing retirement assets can get incredibly complicated and cause a lot of headaches. That’s why I brought my good friend and fellow CDFA®, Gerard Zielinski, onto the podcast. In this episode, we discuss the common pitfalls of dividing retirement accounts, the importance of having an experienced CDFA® on your side, and how to avoid leaving your financial future in jeopardy.
Gerard Zielinski is a Certified Divorce Financial Analyst (CDFA®) who has spent the last 15 years providing individuals, couples, and family law attorneys with financial tools, resources, and expertise in divorce. Gerard specializes in the valuation and division of retirement benefits including Military Retired Pay and the Federal Service Retirement Systems.
Connect with Gerard:
Phone: 888-203-7117
Some key takeaways from this episode include:
There are so many nuances between retirement accounts from person to person, even if the type of account is the same. These nuances complicate how these accounts are divided, which is why bringing in a CDFA® is crucial instead of relying on your divorce attorney to do so.
Doing a discovery with your CDFA® regarding your IRA is so important to avoid the tax implications of splitting your IRA. Your QDRO* language, calculations, and withdrawal forms have to be meticulously put together before dividing this account.
When you can’t agree on how to divide your retirement accounts in your divorce, and you don’t work with a CDFA® to educate you, a judge will ultimately have you divide the accounts 50/50, regardless of the tax implications of that. Bring in a professional early in the process.
*QDRO stands for Qualified Domestic Relations Order - The company you opened your 401K with requires a QDRO to divide that asset.
Marriage is about love, but divorce is about money. The Divorce & Money Podcast, hosted by Gabriella E. Martinelli, CDFA®, CDS®, is all about how to navigate your separation and divorce so you can set yourself up for a strong financial future. Gabriella is the Founder at Ever After Wealth®, a divorce financial strategy firm.
Connect with Gabriella & Ever After Wealth: