Have you ever been able to save 100% of a client’s pension when he/she is going into a nursing home? Often, the spouse who remains at home gets their income cut in half or worse. We have developed a strategy that allows the stay-at-home spouse to keep 100% of the participant’s 401k.
In most states, if not all states, there is no limitation or look back provision for transfers to a spouse. Additionally, federal requirements only group together spouses when looking at assets in the asset test. A pension is considered income, not an asset. Therefore, an In Marriage QDRO® transfer of a pension would allow the parties to more easily meet the income test, thereby allowing the stay-at-home spouse to keep 100% of the pension.
Save your client’s tens of thousands of dollars and be the hero of this aging couple who needs your help. Contact us to get more information.