I have a state job where upon retirement from the state I will receive a pension. My current balance in that retirement fund is relatively low. I also have a 401K to which I contribute. We will be finalizing our separation agreement in a few weeks, and although I understand the 401K gets split in half, and I am unclear how my state pension will be calculated for equitable distribution since it is an unknown how long I will live and therefore what the pension is worth beyond what is currently in that account. Any ideas? Thanks.
You can proactively contact the office of the state treasurer and have an affidavit completed that discusses the value of your state retirement plans, including the pension. There are several ways to value the pension, it could be that your spouse will agree to defer receiving her portion until you begin receiving the pension benefit. Or, if you agree to a cash value for the pension, you could provide her with half of the value.