Divorce & Pensions Solicitors

Our family solicitors’ divorce & pensions expertise

We have the expertise to help with your pension issues when going through divorce. Our priority is to achieve a positive and fair resolution as calmly as possible.

Amongst our specialist solicitors, we have Law Society Family Law Advanced Panel and Resolution members demonstrating our experience in supporting and guiding clients through methods of Alternative Dispute Resolution, saving them the time, costs, and stress of going to court.

Our vast experience means we can help you make an informed decision about the best way to approach your pension arrangements after divorce. We also have specialist experience in complex family law matters involving all types of pension, including:

• State pensions
• Defined contribution pensions
• Defined benefit pensions
• Personal pensions
• Group personal pensions
• Stakeholder pensions
• Self-invested personal pensions (SIPPs)

How is a pension split in divorce?

You have a number of options of arranging the fair division of pension benefits and entitlements after divorce, including:

Pension sharing orders

The usual way of dealing with pensions is via a pension sharing order which, as the name suggests, divides a pension between a couple after they divorce. Each party is awarded a percentage depending on factors such as their financial need and whether the receiving party has any pensions of their own.

The party receiving a benefit from their spouse’s pension can then transfer their share to a new pension, an existing pension, and can become a member of the existing scheme.

Effectively, pension sharing orders create two pensions from the existing one and the receiving spouse's pension is then totally independent from that of the giver. This means there will be no consequences if either party remarries or dies.

Attachment orders

A second option is creating an attachment order (formally known as earmarking). This enables the court to order the managers of the pension scheme to pay a proportion of the pension to the pension-holder's spouse. In this situation, the pension holder remains in control of their pension and cannot be compelled to retire at a certain age.

Additionally, if the pension-holder dies, the pension benefit is lost. If the non-member remarries, then payments, which are akin to maintenance, will cease. Clearly, an attachment order is an unattractive option for the non-pension holding spouse apart from in exceptional circumstances. We can provide clear, practical advice about when an attachment order may be the right option for you.

Pension offsetting

Offsetting, which is the third option, is where the non-pension holding spouse takes a greater share of the tangible non-pension assets to compensate for the loss of a share of their spouse's pension. For example, if one party has a valuable pension, the other party may retain ownership of the family home.

Pension offsetting is popular with couples looking for a clean break with no ongoing commitments towards each other (including the burden of implementing a pension sharing order).

Despite the complexity of this area of law, we can provide further advice and help you and your former partner carefully negotiate a fair agreement.

Divorce and Pension FAQs

Am I entitled to my spouse’s pension when we divorce?

Pensions are treated just like any other assets during a divorce. This means the default position is that they must be included in the division of finances.

However, as set out above, there are various options that can be used to deal with pension rights after a divorce. This means you may receive a share of the pension pot, a regular payment once the pension kicks in, or a bigger share of other assets to offset the value of your spouse’s pension.

How much of my spouse’s pension am I entitled to when we divorce?

The starting point for the division of all financial assets in divorce is a 50:50 split and this applies to pensions. In practice, though, it is rarely that straightforward. Exactly what assets you will be entitled to will depend on various factors, including the length of the marriage and your reasonable needs.

In most cases, it is possible to negotiate a fair settlement that includes pensions amicably, but in some instances, court proceedings may be required. If a court does get called upon to decide, it is important to have your case carefully prepared with your needs clearly set out to ensure you receive the maximum possible value from your divorce.

How long after divorce can you claim a share of your spouse’s pension?

There is no time limit on how long after your divorce you can claim a share of your former spouse’s pension. There are some circumstances that would prevent you from doing this for example if you have a ‘Clean Break Order’ in place that has legally severed all financial ties between you or if the person making the claim has re-married and hasn’t, prior to remarriage, made a claim to the Court to resolve financial matters

How can you protect your pension in divorce?

It is important to take specialist advice from a knowledgeable and reputable solicitor as pensions are complex assets and much will depend on the circumstances of your case.

Why choose our family law solicitors for advice about divorce & pensions?

At JCP Solicitors, we pride ourselves on our strong commitment to our local communities across South Wales, West Wales, and East Wales.

Every one of our solicitors is an expert in their area and dedicated to exceeding expectations and producing positive results for clients. Within the family team, we have a member of Resolution, an organisation which promotes Alternative Dispute Resolution as a less distressing and non-combative replacement for family court proceedings.

We also have a member of the team accredited by the Law Society in Family Law Advanced, demonstrating our ability to assist clients through complex family law proceedings.

JCP Solicitors is independently regulated by the Solicitors Regulation Authority (SRA).