What is the Difference Between Quaified and Non-Quliafied Pension Plans?
Pension plans and retirement benefits can be some of the most difficult matters to sort through during a divorce. To ensure each spouse in the divorce receives his or her full benefits under New Jersey law, there are several steps that need to be taken by a family law attorney depending on whether the retirement plan is a “qualified” or “non-qualified” pension plan. These next two blog posts will feature the differences and similarities between qualified and non-qualified pension plans, and how they may affect a divorce proceeding. Qualified Pension Plans The IRS designates certain pension and retirement plans as “qualified” and “non-qualified.” Qualified pensions and retirement funds are much more popular in America and include popular retirement and pension plans including 401(k)s and 403(b)s. A retirement or pension fund is “qualified” if it meets the federal standards promulgated by the Employee Retirement Income Security (ERISA). Here is a list of the most popular quali...