Protecting Pensions & 457's

FDNY Pension Divorce

FDNY Pension Divorce

Firefighters sacrifice themselves every day on the job, and an important part of compensation for this ultimate service is the accrual of a pension for a firefighter’s retirement years. As a firefighter, facing a divorce raises the unique challenge of how a FDNY pension divorce work. For this reason, it is very important to seek counsel experienced in protecting this asset.

FDNY Pension Divorce – How Does it Work?

In New York state, courts use something called the the “Majauskas” formula.  It is the standard for determining howFDNY pensions are shared after divorce.

Under the Majauskas formula, a firefighter’s spouse is only eligible to share in the marital portion of the firefighter’s pension. This “marital portion” is a percentage that represents the amount of the pension subject to distribution in the divorce.

The FDNY Pension Divorce formula calculates this percentage by dividing the number of years the couple was married by the number of years the firefighter worked for the FDNY during the marriage. The percentage is then applied to the full pension to determine the “marital portion” of it.

The FDNY Pension Divorce formula ONLY defines the marital portion of the pension. How the marital portion is then divided must then be determined.

Rather than allowing the court to make this determination, many couples opt to save time and money by coming to their own agreement on whether they want to divide the marital portion of the pension, and if so, how.

We are experienced in negotiations.  Negotiations amongst spouses can often lead to fair and cost-effective solutions. But when the time comes for a fight, we are experienced, ready and willing to litigate to protect your rights. You are entitled to the pension you earn through your career-long hard work and sacrifice, and we will see to it that this right is protected.

FDNY Pension Divorce:  What Happens With a Disability Pension and Divorce?

When a firefighter is hurt on the job and can no longer effectively perform their duties, a special disability pension is awarded. A disability pension and divorce provides for a unique situation. Unlike a traditional pension, the disability pension is not fully subject to the Majauskas formula.

Rather, the entire disability portion of the pension is considered separate property for the injured firefighter, and it is not subject to distribution in a divorce. The tricky part here is figuring out what portion of the pension was earned from normal time in service and what portion is compensation for an injury.

Depending on how the disability pension is calculated, it can either be partially marital property, totally marital property or completely separate property. If the amount of money a firefighter receives is wholly based upon the extent of his or her injury, then the entire disability pay is the firefighter’s separate property.

To learn more click the link below

1.NY Divorce Mediation: In a New York Divorce, Your pension is usually shared with divorced spouse

2.Long Island Divorce Mediation: How is our house valued in divorce mediation or divorce court?

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