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Death in Service Benefit & Divorce

  • fartypants
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20 Oct 23 #521948 by fartypants
Topic started by fartypants
I have trawled the internet and cannot find an answer to my question - probably the answer is there, but I'm not reading it correctly!

Can anyone advise please, for instance:

Death in Service Benefit as at 30.09.23 £50,000 (lump sum) (as per CETV figure)
Pension £3500
Widow £1400

Separated July 2021
Divorce going through Financial order, court etc etc

If the ex was offered 50% - does this mean 50% of current value, or would it be 50% of value at time of death - for instance if the benefit increased to £200,000 would ex get 50% of the £200K?

Would ex also be entitled to (ie 50%) of the annual amount of £1400?

Thanks in advance

  • hadenoughnow
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21 Oct 23 #521953 by hadenoughnow
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Umm. On divorce pensions are usually split and shared. The aim is to equalise income in retirement. Smaller pensions can be split on a capital basis - CETVs are added, divided by two and adjusted to equalise.
Once a pension has been shared there are usually no dependent benefits available to the party with the share. I guess they could still be a nominee but whether they got any support would likely at the discretion of the trustees. If there's a lump sum to be paid that would be part of your estate and subject to the terms of your will.

Hadenoughnow

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21 Oct 23 #521954 by WYSPECIAL
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It’s the CETV figure which is important and what can be split.

The CETV figure is the amount of money that the scheme would be willing to pay to get rid of you and have someone else have the risk of paying the pension you are entitled to based on the scheme rules.

Widows benefit is of no interest as it wouldn’t be payable if you died after divorce. If you’re not married when you die then you can’t leave a widow.

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