Hello, my name is Scott Johnson.
In this episode of the Financial Success Academy covering divorce, I'll discuss the importance of your date of separation and how that date is determined.
It's important to understand that only assets accumulated during the marriage are subject to equal division in a divorce.
For example, retirement assets like your deferred compensation account, a 401(k), IRA, and pension accounts that are accumulated before the date of marriage or after the date of separation are considered separate assets, not subject to division.
For this reason, it's extremely beneficial to keep copies of retirement account statements from the month the marriage began and the date of separation.
Your date of separation is an important date. The court generally determines the date of separation in one of two ways: First, the date that both parties began residing in different households, or the date on which one of the parties files for divorce.
Again, assets accumulated before the date of marriage or after the date of separation by either party, i. e. retirement accounts, are not subject to division.
I'll discuss the division of Retirement Accounts in greater detail in another video, but DRS and your other retirement plan providers will need to be provided both dates to accumulate benefits.