Do I Automatically Get Half of 401k in Divorces
Do I automatically get half of my spouse’s 401k in a contested divorce in Birmingham if we have been married a long time? A 401(k) plan is a way for people to save for their retirement that is offered from employers. There are many tax advantages associated with a 401(k) plan which is why it is a favorable option for many. One of the main benefits of a 401(k) plan is that the contributions that you make to the plan are taken out of your paycheck before taxes are withheld. This means that you are able to save your money in a retirement account without the funds being taxed. This is a great way to save up for retirement. You do not have to pay taxes on these funds until you retire.
In the event that you and your spouse get a divorce in Talladega, or anywhere else in Alabama, you may have to split your 401(k) with your spouse. In Alabama, there once was a law that would not allow your spouse to collect any of your 401(k) funds in the event of a divorce unless you were married for at least ten years. However, that is no longer the case in Alabama, that law was modified in 2017. Under current Alabama law, a judge can make a decision on how the retirement plan is divided no matter how long the couple has been married for. This means that there is no set time period in Alabama that you have to be married before you are able to access your spouse’s retirement in a Tallapoosa County divorce.
There are a number of factors that a judge must consider when deciding whether or not to award half of 401k funds to the ex spouse. One of the main factors that a judge will consider is how much of the funds were contributed during the course of the marriage. Generally, a judge will be more likely to split funds that were contributed to the retirement plan during the course of the marriage. This means that if you contributed a significant amount to your retirement plan before you were married to your spouse, then your Trussville divorce attorney may be able to argue for you to keep those funds to yourself during a divorce.
In conclusion, there is no set time that you must be married in Alabama in order to get half of your spouse’s 401k plan. It will be left up to the judge’s discretion to determine if you will be awarded your spouse’s 401k, and if so, how much you will be awarded.
Attorney Steven A. Harris regularly blogs in the areas of family law, bankruptcy, probate, and real estate closings on this website. Mr. Harris tries to provide informative information to the public in easily digestible formats. Hopefully you enjoyed this article and feel free to supply feedback. We appreciate our readers & love to hear from you!
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