Going through a divorce is never easy but getting independent pension advice early on is important to your future wealth. Figures from the Office of National Statistics (ONS) show that the average (median) duration of a marriage at the time of divorce was just over twelve years for opposite-sex couples.
Unreasonable behaviour was the most common reason for opposite-sex couples divorcing. The figures show that 52% of wives and 37% of husbands petitioned on these grounds for divorce. It was also the most common reason for same-sex couples divorcing, accounting for 83% of divorces among women and 73% among men.
Furthermore, the average age for getting divorced is increasing. So, for men, the age is now over 45 and for women just under 44. One of the reasons for this is that the figures may reflect that younger people are not getting married in the first place.
One of the consequences is that getting divorced has become more complicated. The longer couples live, the greater the time they have to increase their assets, such as property and pensions.
Solicitors are now working with pension specialists.
We are seeing solicitors advising on divorce now working more closely with qualified and experienced independent pension advisers.
Pensions are a vital part of the financial wealth and the Courts will often either order that the value of a pension should be split between the parties or that it should be considered as part of an overall assessment of wealth.
What is a pension sharing order?
Pension sharing is one of the options available on divorce or the dissolution of a civil partnership. It provides a clean break between parties. The pension assets are split immediately. This means that each party can decide what to do with their share independently.
If you decide to opt for pension sharing on your divorce or dissolution of your civil partnership, the Court will issue a pension sharing order (PSO). This order will show how much of your pension, your ex-spouse or partner is entitled to receive.
The cash available from providers of occupational pension schemes to members who transfer to personal pensions is at an all-time high and could provide an important asset in any divorce. There are complex issues at stake in assessing the respective benefits and expert financial advice is required. Many financial advisers specialising in divorce work have obtained a specialist qualification in pension transfers.
How Anstee & Co can help you with pension advice.
As Independent Financial Advisers, we work closely with solicitors and other professionals. We have the specialist qualification to advise on pension sharing orders. Being independent is important as it means that the pension advice, we offer is unbiased. Also, we look at all the solutions from the “whole of market”.
As financial advisers we are aware that everyone’s situation is different, so we take the time to understand our clients and what they are trying to achieve. Our initial meeting is at our expense and is without obligation. Meetings can be arranged at a time and location that is convenient for you. We have offices located at-
- Kettering, Northamptonshire
- Stamford, Lincolnshire
- London, Pall Mall, Greater London
Additionally, our pension advice specialists live and make use of meeting rooms in-
- Market Harborough, Leicestershire
- Bedford, Bedfordshire
- Northampton, Towcester, Brackley and Wellingborough in Northamptonshire.
Finally, the information contained in this article does not constitute advice. No action should be taken based on this information alone.