Is a Military Pension Considered Marital Property?
Going through a divorce is always complicated. Navigating those fraught waters can not only test your financial and emotional limits but also make you feel lost and overwhelmed in the face of complex legal concerns.
While straightforward answers to specific questions can be difficult to come by, it never hurts to study up on the topic of divorce. You need to understand which of your assets will legally be considered your personal property so your rights will not be infringed on.
In fact, getting a clear understanding of your property, finances, and rights is the first step in obtaining a divorce.
What Is a Military Pension?
Military retired pay, or a military pension, is one of the many ways that the United States attempts to take care of its retired troops. Similar to traditional pensions, military pensions are payments made to military members after their retirement.
With military pensions, former military members can enjoy their retirement without having to worry about finding a new way to pay the bills. Pensions are guaranteed to all service members who honorably complete their enlistment.
Pensions are one of the primary reasons that people sign up for the military, to begin with, and they provide a large amount of comfort and stability for those who receive them.
What Is Marital Property?
Before determining whether a military pension qualifies as marital property, it’s important to define what marital property actually is. Marital property is a legal term that simply refers to property that was acquired during a marriage. Examples of marital property include cars and houses.
Property obtained prior to the marriage, along with inheritances and gifts from other people, are all considered individual property rather than marital property. If they choose to do so, couples can use a prenup to establish certain marital property items as individual property.
What Could Happen to Your Marital Property in a Divorce?
When a divorce occurs, the two parties decide which party will receive what marital property and what compensation the other party will receive in return. Splitting up marital property can be contentious, and in the case that the two parties cannot reach a mutual understanding, it becomes the duty of the court to divide it.
Are Military Pensions Marital Property?
Marital property is generally defined as property acquired during a marriage, which is when military pensions are typically generated. For this reason, military pensions are considered to be marital property. In Michigan, as in each of the other 49 states, military pensions can be divided up in a divorce court as the court sees fit.
Pensions are important resources. They allow retirees to focus on spending their retirement exactly the way they want without having to continue working a job into old age.
If you or someone you know in the Metro-Detroit area is considering a divorce, call Gucciardo Family Law. Our dedicated team of attorneys has the experience and knowledge to help you retain what is rightfully yours.
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