Federal

Federal pensions are tricky because they stand alone similar to military pensions. They do not fall under the QDRO umbrella, but they do oftentimes make up a large portion of a couple’s assets making their division necessary. Federal benefits can encompass a pension, lifelong annuity payouts and in some cases even health insurance- all benefits that a divorcing spouse would want to keep. Complicating the matter more is that state and federal law regarding these benefits sometimes conflict, and federal law always wins so any law firm representing a client with a federal pension needs to be well-versed in multiple areas of pension law.

Most federal employment issues are decided based on a principle known as “spouse equity” which is why QDROs are not valid. Complicating the situation more is that the government generally does not offer any help or guidance about how to create a court order to request the division of benefits. They also require a subpoena to release any information which makes it difficult if the ex-spouse is not cooperative. It is not impossible to divide a federal annuity, but as all of the above facts highlight, it is an uphill battle.