patlou5306
recently joined
Reged: 03/28/08
Posts: 3
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Husband and I are in divorce proceedings for past year (married 28 years). Had our mediation agreement, sold our house, I now live in MI, husband FL. I was under impression that husband was one who had to do QDRO through his employer. I kept insisting he get it done but he procrastinated. After much research online, I just recently found out I need my own QDRO specialist to protect my interests but as of yet had not secured one yet. Now my STBX just informed me that his employer (Ford Motor) told him that they need the Final Judgment before a QDRO can be done. I know that is not true and I know they just want to screw me out of benefits once the divorce is final. Since I have been in Michigan, he has been sending me 1/2 of the pension until our divorce is final. Today he sent me an e-mail informing me that he just changed his exemptions on his pension so they will be taking out more taxes out of his check, hence I will receive less. Can he legally do that during a divorce action and what should I do? Would he be in contempt for this as far as the court is concerned? Should I respond to his e-mail or wait to inform my lawyer of his actions? By the way, mediation agreement entitled me to 1/2 his pension and survivorship benefits language is to be written into QDRO per mediation agreement. Thank you for your help in advance. I'm really scared now.
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jaiye
old hand
Reged: 10/27/05
Posts: 860
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Is he court ordered to pay you out of his pension before the QDRO? My divorce Lawyer did my QDRO. He contacted my X's emplyers pension department and they sent him the "Model" or templete of what they require and he wrote it up and filed it with the court for the judges signature and then filed it with the company.
If you hire an attorney to file it for you it shouldn't cost more than $800-$1000 for them to do it. Is he ordered to pay you spousal support?
What he has taken out of his check shouldn't affect what he pays you since you will have to declare what you receive as income and will have to pay taxes on it then.
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patlou5306
recently joined
Reged: 03/28/08
Posts: 3
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Thanks for the reply Jaiye! No, he does not have a court order to pay me his pension before the QDRO. He was paying me spousal support up until the time we sold our house. After we moved, he started paying me 1/2 his pension. Per the mediation agreement (which I see has a lot of flaws now after the fact) says that he was to pay me spousal support until the house was sold and that "there would be no Final Judgment of Dissolution of Marriage until after the home was sold". It does not mention what monies I should receive after the house was sold or before the divorce was final. It does mention the QDRO that needed to be done also but not 'when'. Now he is changing his exemptions which will result in a lower monthly payment to me and I just have to be happy with whatever he wants to do. I guess I'll just have to get my own QDRO specialist for myself to protect my interests because he seems to be pulling something here as he is altering pension monies. I guess my question is, Can he change his pension tax exemption status while a divorce action is in process?
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gettingby
journeyman
Reged: 04/24/07
Posts: 89
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Does your settlment state how the pension is to be divided? The QDRO is often filed and done after the divorce is final, so don't worry about that. Get q QDRO Specialist to write it up (ours cost about $500) but they were working with very specific numbers laid out in the settlement. We submitted it to the plan admin, it was rejected the first time because it wasn't signed by the judge, (this is also normal, they check the QDRO and make sure its correct). Then it goes back to the court, it is signed off and then sent back to the plan. My divorce was final in July, the QDRO was final in late Oct. How can his exemptions change his pension? Are they withholding taxes from it? When you get your share, you can set your own exemptions. It becomes your separate money.
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patlou5306
recently joined
Reged: 03/28/08
Posts: 3
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Thanks gettingby. The settlement statement says, "The parties agree that the Wife shall receive half of the Husband's pension upon Final Judgment of Dissolution of Marriage". No specific numbers like yours. In fact, it's pretty vague. I am going to get a QDRO specialist. QDRO specialists say it's very risky waiting after the divorce to do a QDRO because if the participant dies before the QDRO is done, you will lose all benefits because no order was in place, even if you have a mediation agreement. He has sent me 1/2 the pension for 3 months and now, all of a sudden, he is changing his tax exemptions. He mentioned that they will be taking out more taxes out of his check which means he will send me less than what I was originally getting. I believe he is doing it because at the end of the year when he files (singly) he will get a bigger refund but at the same time he is accomplishing giving me a smaller check. I see what his intentions are at least for now. I agree with you, once I get my share, I can do whatever I want. I just wondered if he can change his exemptions right now during a divorce action. Is that illegal or is he within his right? I thought you shouldn't mess with anything during divorce proceedings. Thanks for your reply.
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PhoenixRising
Carpal \'Tunnel
Reged: 01/05/07
Posts: 3681
Loc: New York
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Yes, the Corporation requires the Final Judgment of Divorce (which will contain the QDRO order) before it can execute it.
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Be kind, for everyone you meet is fighting a hard battle. --Plato
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FED_Retired
recently joined
Reged: 01/22/07
Posts: 10
Loc: MA
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Everthing I have read about QDRO is it should (must!) be a part of the formal Court Decree as finalizied by The Court/Judge. If you actually filed for Divorce with Court, then that should have been explained by your Mediator (Lawyer??) and the Court itself during the formal divorce procedings. FMC, or any similar annuity fund manager, cannot legally divide your Spouse's (you're not divorced legally) Annuity until thay have a properly, legally worded final Court Divorce Decree. So if you had no competent lawyer or mediator, and did not go though formal Court process, you have gotten yourself into mess. Also be sure Court Order accounts for you receiving any future increases in Annuity. BTW, once FMC divides ex's Annuity per final Court Decree, your gross share is set (FMC will send you your share), and how Ex distributes his share is his problem.
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Maury
Carpal \'Tunnel
Reged: 06/02/04
Posts: 8146
Loc: This Asylum --->
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That is not accurate. A separate Qualified Domestic Relations Order may always be drafted subsequent to a divorce decree to divide a retirement plan. The language need not be included in the divorce decree. However, the decree must address the issue with sufficient specificity to allow a QDRO to be drafted pursuant to the plan terms.
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TEXQDRO
recently joined
Reged: 04/01/08
Posts: 1
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First you don't need him to get the QDRO you can that done with your attorney or a QDRO expert as long as the order is to divide pension. Quite frankly a court can not order him to make payments to you and doesn't have too. That is the purpose of the QDRO. What can be done if he is in pay status, the plan will not pay retroractivley so there is a constructive trust for back pay to pay the plan monies so they can pay you and there are no tax implications. USC 1056 can provide this information. The plan needs the final judgement and the DRO in order to qualify.
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kben
recently joined
Reged: 08/21/08
Posts: 1
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Just want to say that however you do your QDRO, either with an attorney, on your own, etc., be sure to advise the pension holder in writing that you are entitled to a portion of the retirment. (sending them a copy of the decree or court order) That is to ensure that the plan administrator puts a hold on those funds.
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