Pesion sharing annexe (divorce)

ellas9602

Hello

Some advice please? My OH has been looking over his pension, hes 55. He was divorced in 2003 and agreed to a 50% split on the understanding that the split would be made on the pension he had accrued until the time of the divorce - 2003.

Looking at new pension statement it appears that the split will be made on whole pension and he will lose 50% of everything.

The court order just states benefits valued as of XX/XX/2002 (seperation date)

Can anyone advise if the benefits valued date amounts to the date of the split and that any contributions after this date are his alone?

Thanks

atush

i would think so, what does his pension sharing order say exactly?

Is this a DC pension, ie a pot of money? If so, why wasn't it split then? And her portion put in her name- this is the way it is normally done.

Otherwise, if this was a DB pension, it should also have been split at the time? Either put half in her name if allowed, or a CETV value given for her half and transferred out to a personal pension?

Has he asked his solitcitor?

Your_Hero

It sounds like your OH has earmarked 50% of his pension for his ex. This will not be on the separation date only. The ex will be entitled to 50% of his benefits when your OH draws his benefits.

This is different from 'pension sharing' where the benefits will be split at that date and allows for a 'clean break' after the divorce.

ellas9602

Hello, thanks

Its a DC pension. It was split at the time as far as we understood, its just his pension statement that has thrown us. Is it likey that this is wrong?

The order says very little, there is a section thats says perecntage of the CETV arrangement is equivalent to £{ } - left blank, then says 50% of the CETV

Next section says pension sharing charges be apportioned as follows..handwritten is 'equally'

ellas9602

Sorry, to add, no contact with solicitor yet.

ellas9602

Your Hero, thanks.

This is called a 'pension sharing annexe'...?

Your_Hero

ellas9602 wrote: »

Your Hero, thanks.

This is called a 'pension sharing annexe'...?

Why has the pension not been "shared" yet if the order was dated in 2003? To my understanding, a pension sharing order would divide the benefits at that time and the ex would have had her benefits paid into another pension.

xylophone

This is called a 'pension sharing annexe'...?

http://www.jordanpublishing.co.uk/system/uploads/attachments/0002/0925/Form_P1.pdf

Was this an external transfer? Was there a receiving scheme?

http://www.sharingpensions.co.uk/earmarking.htm

What you describe doesn't sound like earmarking?

mania112

I know you said it's a DC pension, but it sounds like a final salary pension.

In a private pension (or any other DC), it would be very simple to cut the money down the middle and issue it to a new pension in the name of the ex.

In a final salary, that's not so easy and its normal for the ex to have an entitlement remain in the scheme.

If your OH left the scheme (if it is a final salary) before the divorce 50% then is the same as 50% now (and the same as 50% in retirement). Both portions in a final salary will continue to grow to both your OH and the EX will have more in retirement than at divorce date.

mania112

oh.... what I meant by that was:

If he continue to pay into the pension after divorce then I would assume there's a mistake and 50% would no longer be correct.

atush

It sounds like the sharing order was never enacted. I assume the solicitor was supposed to contact the pension company and the expartner's solicitor was supposed to aid them in finding a place to put it.

It sounds as this was never done, so contact the solicitor asap.

as for now, you can't just give them the value from 2003. You would have to see how many units that would have been, and find out how much those units would be worth today (ie add in the growth) but strip out any new contributions since then. So this would cost some bucks to investigate.