Legal Question in Family Law in Nevada
In a Nevada divorce that was final In June 2015 but was amended in Oct. 2015 for QDRO's to be added. The divorce was fine but the money, properties etc needed to be divided via QDRO. 2 QDRO's had to be drafted said my attorney and $3,000. QUALIFIED **** PENSION TRUST DEFINED BENEFIT PLAN, and QUALIFIED DOMESTIC RELATIONS ORDER **** PENSION TRUST MONEY PURCHASE BENEFIT. The retirement was finally finished in May of this year. But the Vanguard Money account is not, due to wording he wants included and to make payment via Attorney because he wants to be paid as well as the mediator and my Attorney, this is the problem, money cannot be paid out directly from **** Money Purchase as set forth in the Amended Decree of Divorce. Now the Union told them this BEFORE the amended decree and during the mediation I asked my attorney why we were agreeing to the payments to who ever when the Union said they were not paying anyone but the participant and the ex wife? So now I get a stipulation to the divorce dated Aug. 2016. I told them I will pay my bills I don't need a stipulation stating the same thing as the decree. Is this normal?
1 Answer from Attorneys
We have read your question and are a little confused � since we don�t have the underlying orders or decrees to review. It appears that you are asking if it is normal for the lawyers to get paid from a defined contribution pension directly. If this is the question, the short answer is no. The plan will only pay the participant and the "alternate payee" (or other legitimate beneficiary) directly. Of course, either you or your ex can take a withdrawal and pay your attorneys with the money;that is done all the time. That will trigger a taxable event and depending on your age when the money is withdrawn, and which party is paying whom, may result in a 10% penalty as well.
If this does not answer your question or causes you to have further questions, we ask that you contact our QDRO staff at 702-438-4100 or send your questions to [email protected].