Pensions and divorce
Our specialists help clients manage the complex division of pensions during divorce or separation, ensuring their long-term financial security is protected.
Expert advice to help you understand your options, protect your financial future and make informed decisions.
Pensions are often one of the most valuable assets in a marriage, yet they are repeatedly overlooked or misunderstood during divorce or separation. Their complexity, which ranges from different types of schemes to varying rules on access and valuation, can make dividing them fairly a real challenge.
Getting it wrong can have lasting consequences for your financial future. That is where our specialists can make a real difference. With expert legal advice, you can ensure pensions are properly valued, fairly negotiated, and, where necessary, protected through court orders.
- Our flexible approach allows you to choose the level of support you need, with clear pricing and no unnecessary work.
- Trusted family law experts who advise families with practical solutions that prioritise children’s wellbeing.
- With the support of our in-house mediator, we help clients find constructive solutions wherever possible, reducing conflict, minimising costs and staying out of court where possible.
- Backed by a leading full-service law firm, with access to other specialist legal advice whenever you need it.
Valuing and dividing pensions
When splitting pensions in a divorce, the starting point is usually to assess the cash equivalent value (CEV) of each pension, this is an estimate of what the pension is worth if it were transferred today. A fair division rarely means a 50/50 split of pension cash equivalent values; instead, the goal is often to achieve pension equalisation, where both parties end up with a similar level of retirement income. Factors like age, health, length of the marriage, and whether part of the pension was built up before the relationship began can all influence the calculation. It may be appropriate in some cases that certain pensions are ring-fenced.
In more complex cases, especially with final salary schemes or large pension pots, it is vital to take proper advice. Defined benefit schemes will all have different rules on how to value a pension and these must be considered carefully. A solicitor can help ensure the right figures are used and that any split reflects your long-term financial needs. Our experts can help guide you on how to deal with your pensions and have experience working with complex pension schemes, including those from the armed forces or other uniformed services.
Dividing pensions in a divorce
Once the pensions have been valued and entitlements agreed, one spouse may need to transfer a portion of their pension to the other. There are three main methods for dividing pensions on divorce, our specialists will help you choose and action the one that best suits your needs.
Pension sharing
Pension sharing is often the most straightforward and cleanest method. It involves a court order transferring a percentage of one spouse’s pension into a separate pension pot for the other. This gives both parties immediate, independent control of their own pensions moving forward.
Pension offsetting
With pension offsetting, the value of the pension is balanced against other assets—for example, one spouse keeps more of the pension while the other receives a greater share of property or savings. This is often a complex calculation as value in a pension is not the same as cash in hand or other liquid capital.
Pension attachment
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What makes our divorce services different?
Experts in complex pension structures
We understand the full range of pension schemes, from workplace and private pensions to SIPPs and final salary plans, so nothing is overlooked or undervalued in your settlement.
We ensure every angle is covered
We have extensive external networks that mean we can signpost you to and work with other services that may be beneficial, such as counselling, financial advice and coaching, to help with property and business to ensure you have the full support you require.
Joint services for separating couples
Separating on amicable terms and want a single expert to provide guidance? We were one of the first law firms in the country to offer a range of innovative one couple, one professional services. We will help you to understand if these are right for you, potentially saving you time and money.
You are in control of the costs
We know how worrying the cost of a divorce or separation can be and will work with you to find the most cost-effective way of supporting you. We are flexible with how much support you require, offering a variety of options to suit your budget. We keep you fully informed of all costs and future costs on a regular basis and always keep proportionality under review.
Pensions and divorce FAQs
Are all pensions included in a divorce?
Yes, all pensions are considered in a divorce, regardless of whose name they are in or when they were built up. This includes a wide range of pension types:
- Workplace pensions – such as defined contribution (money purchase) schemes and defined benefit (final salary) pensions.
- Private pensions – set up individually, including personal pension plans and SIPPs (Self-Invested Personal Pensions).
- State pensions – while the basic State Pension can’t be shared, the additional State Pension (such as SERPS or State Second Pension) can sometimes be taken into account or shared in certain cases. Any missing contributions in a basic state pension will also need to be considered as part of the overall financial assessment.
- Overseas pensions – pensions held abroad may also be relevant, although they can be more complex to deal with.
What can affect your share of the pension when divorcing?
Several factors can affect how pensions are divided during a divorce. The court’s aim is to reach a fair outcome based on both parties’ needs and circumstances. This means pensions are not necessarily split equally. Key considerations that can influence your share include:
- Length of the marriage – In longer marriages, pensions are more likely to be shared equally, while in shorter marriages, only the pensions built up during the relationship might be considered.
- Pre-marital contributions – If a large part of a pension was built up before the marriage, this may reduce the share given to the other spouse.
- Age and health – Differences in age or health may impact retirement needs and influence how the pension is split.
- Other financial resources – If one spouse has other substantial assets or income, this could impact how much pension sharing is needed.
- Children and future needs – The court may consider one party’s need to care for children or their ability to rebuild pension savings after the divorce.
How long after the divorce can I claim against my spouse’s pension?
You can only claim a share of your ex-spouse’s pension if it is dealt with as part of the divorce process by way of a financial order. If the divorce is finalised without a financial order in place, you may lose the right to make a claim later, depending on your individual circumstances. Pension calculations can also become more complicated if there is a significant period after the divorce, so it is important to deal with pensions at the time of divorce. However, there is no automatic time limit for bringing the claim so, unless the financial side of the divorce is formally resolved by the court, either party could potentially make a claim in the future. For the spouse with the greater pension provision, there is therefore a risk that pension assets continue to grow and then face a later claim.
If you’ve already divorced and didn’t sort out pensions at the time, you should seek legal advice urgently. It may still be possible to pursue a claim.
How can I protect my pension in a divorce?
Working with a solicitor who specialises in divorce and pensions is crucial, they can help ensure your pension is accurately valued and advise on the best strategy to safeguard your interests. You may negotiate a fair settlement that balances your pension with other assets or seek a pension sharing order that clearly defines how the pension will be divided.
Will divorce affect my retirement plans?
Divorce can significantly impact your retirement plans, as it often involves dividing valuable assets like pensions and savings. You may receive a smaller pension share than expected, or need to adjust your retirement age or lifestyle based on the financial settlement.
Additionally, if you have relied on your spouse’s pension as part of your retirement income, you will need to reconsider your long-term financial strategy.
Our experts specialise in divorce and pensions and can help you understand how the split will affect your retirement and guide you in planning for a secure financial future. We also work closely with our network of specialist financial planners who can help ensure you maximise your finances.
Will the pension split happen now, or when my spouse retires?
The timing of the pension split depends on the type of pension and the method used to divide it. With a pension sharing order, a portion of your spouse’s pension is transferred into a separate pension pot for you, this usually happens soon after the divorce settlement, so you gain immediate control over your share.
However, if a pension attachment (earmarking) order is used, you won’t receive anything until your spouse actually starts taking their pension benefits, meaning payments come later and depend on their retirement.
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Why use our pensions and divorce solicitors?
We provide a constructive approach to divorce
We encourage mediation, arbitration and other constructive processes and aim to settle out of court where possible. Paul Linsell, our head of the family law team, is a fully accredited mediator with a national reputation for that work. Paul’s role as a mediator is to unlock disputes, skilfully guide the discussions, provide relevant information, and to signpost you to other resources that will be helpful as the process unfolds. The mediator is neutral, but will assist you to understand what is important to you and ensure you can make fully informed decisions about the future for you and your family.
Trusted, specialist advice you can rely on
Our dedicated divorce solicitors combine technical expertise with a personal approach, taking the time to understand what matters most to you. We provide clear, practical advice throughout the divorce process, helping you make informed decisions while protecting your future and achieving a fair resolution.
We are a leading full-service law firm
Boyes Turner is recognised as a leading law firm by Chambers UK and The Legal 500. As a full-service firm, we can draw on the expertise of our other specialist teams such as private wealth, property and dispute to provide seamless support whenever you need it. We also work closely with other professional services that may be beneficial to you, such as counselling, financial advice and coaching, to ensure you have the full support you require.
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