Pension Sharing and when to draw it

Please can someone help. I am 60 and just divorced. I am in the process of getting a pension sharing order off my ex. My solicitor thinks that if I get the share that I will not be able to draw it until I am 65 but she is not 100% sure. Does anyone know if this is correct. I got a Judicial Separation 5 yrs ago and I was awarded maintainance.If the pension sharing means I cannot draw it until 65 I will be losing out until then with the maintainance being dropped.

Hello

Once the pension annex goes to the provider they will explain when you can draw the pension, i do know some lady`s are drawing after pension sharing aged 60 but in their case the husbands (ex) are retired.

Dukey

Join the gang - your solicitor should be able to tell you absolutely exactly when you would be able to take your new pension into payment - before you start to negotiate your divorce deal.
Once the Pension Sharing annex goes to the pension scheme it's too late to renegotiate.
Under the Pension Sharing Information regulations you/your solicitor are entitled to ask the pension scheme - ie the admin/manager/trustees - when you can take your pension if you decided to share.
Pensions Ombudsman determination found a requirement to state the age at which the new pension becomes payable in a case brought against a Council:
"18. The Council was under a statutory obligation to provide information, as set out in Regulation 2(1)(a) of the Regulations which refers to paragraphs (2) and (3)(b) to (f) of that Regulation. A failure on the part of the Council to supply such information would amount to maladministration.
19. Paragraph (3)(d) of that Regulation refers to the type of benefits available to pension credit members. I regard that as including a reference to the date when a pension is payable."

It is crucial to your divorce settlement negotiations - maintenance etc- to know when you can take your pension and how much it will be.
Frankly if your solicitor can't tell you I'd ask the pension manager myself or ask the judge to get the information.
For a bit of fun ask your solicitor how much your pension income would be if you got a 50% share of the CETV.

PS Has your solicitor asked the other side to complete HMCS Form P - the standard pension inquiry form ?

PPS - Interestingly although it wasn't established before the Consent Order how much income my pension sharing pension would produce or at what age I could take it, the judge was happy to terminate my spousal maintenance on the "retirement" of my ex - without knowing when that would be.
In my experience you will have to ask for/insist on evidence on all aspects - spousal maintenance is deemed to be for joint lives unless the other side can show you can adjust to it stopping without "undue hardship"
Looking back - I/my barrister/the judge should have made them prove it.

It will depend on the terms of the pension scheme - your solicitor should be able to check this with them, and if you cannot claim until you are 65 can negotiate with your husband for maintenace to continue until then.

I would espect you to be able to start drawing the pension immediately, as you are already 60, but it will come down to the specific rules of the pension sheme concerned.

Bear in mind that even if you can draw it straight away there will be a period of up to 4 months from when all the documents (including the Decree Absolute, ID etc) between the order being made, and the pension share being fully implemented so if this is your sole/main source of income you need to plan for this - perhaps by ensuring that mainteance will be paid until date of the first payment to you under the pension?

Have you had an actuaries report to ensure that the split will leave you with equal incme in retirement?

Thanks for your reply. I haven't yet had anything other than the CETV my ex isn't being very helpful and drawing things out.He does'nt want me to get any share and wants to stop maintainance. My ex is already drawing his pension as he is over 65.

Hi,

It is highly likely that you will be able to take your pension immediately due to your age.

However, the exact terms of when you would be able to take the pension benefits will depend on the rules of your ex spouse's pension scheme, the options available to you (to take your bit) on divorce and whether it is a good idea for your personally based on your circumstances (and any penalties for drawing early).

In my experience, this is the job of a competent financial adviser and will not be undertaken by a solicitor. They should be able to guide you through the process.

The other posts make some very valid comments regarding what to look out for with pension sharing. Unfortunately, there are many pitfalls which the unwary can fall into.

One thing I can confirm is that the pension share will only provide an income benefit and not any lump sum (due to the existing pension being already in payment).

So I would do the following:

- Review the options available from the existing scheme including how they deal with a pension credit (your bit).
- Check the CETV is appropriate.
-Consider what you want to get out of the settlement.

One final thought will you be divorcing? If not, pension sharing is not an option and so you would need to look at the other options.

I hope this has been of value. If you need any further thoughts please post or send me a pm.

Regards

Phil
TheDivorceIFA

Please note: Although I am a Resolution Accredited Independent Financial Adviser my comments are given here as general guidance ­base­ d on the (often limited) information available and does not constitute financial advice. They should not be seen as a substitute for detailed financial and legal advice.