Retirement Benefits

Divorce and Your CalPERS Pension: Simple but Not Easy

2 hours ago

Breaking up is hard. Dividing the assets you acquired during your marriage is even harder—and it may include your CalPERS pension.

In California, anything you earn or acquire during your marriage or registered domestic partnership—including money, retirement benefits, property, and assets—belongs equally to both partners. These assets are considered community property. If the relationship ends in divorce or legal separation, these assets, including your retirement benefits, may be divided between you.

Here’s how that could affect you:

  • If you’re an active member, your CalPERS pension and health benefits are put on hold while property division is being resolved.
  • If you’re retired, half of your monthly allowance may be withheld until the claim is settled.

That’s why it’s in your best interest to resolve any community property issues (PDF) as soon as possible.

It’s a simple process that can feel complicated and overwhelming while you’re going through it, explains Greta Moritz, a manager in CalPERS’ community property and retirement services. But it’s really just three steps.

3 Documents CalPERS Needs

  1. A written notification of a separation, divorce, or end of a domestic partnership. The Divorce & Your CalPERS Pension webpage on our website walks you through this first step.
  2. A marital agreement that clarifies if a former spouse or domestic partner will receive a portion of your benefits or not.
  3. A court order explaining exactly how those benefits are to be divided. A Guide to CalPERS Community Property (PDF) explains this process in depth.

How to Look Out for You

Most of the legal work happens between you and your former spouse, outside of CalPERS, with your attorneys or mediators. Ultimately, you and your former spouse must agree on how to divide the assets earned during your marriage or domestic partnership.

Much of what happens in a divorce can be hard to understand. CalPERS recommends:

  • You review, understand, and agree to all court documents before you sign them and they’re filed with the court.
  • If you don’t understand something, ask the person (i.e., attorney or mediator) to explain what the language in the court order means for you and/or your former spouse.
  • Resolve any community property claims as soon as possible. Death does not resolve a community property claim. Your pension can be part of probate and tied up for years. No benefits can be paid until the claim is resolved.

What CalPERS Can Do

We can explain where your case is in the process and the documents needed to move forward. We can also guide you to resources that explain in detail what you need to do.

Check out this video that walks you through the process to divide your CalPERS benefits. You can also reach out to our customer contact center at 888 CalPERS (or 888-225-7377).

What CalPERS Can’t Do

CalPERS is a neutral third party in this scenario. Our role is to review documents and process court-ordered instructions to resolve community property claims. We can’t:

  • Offer any legal advice or opinions.
  • Help you fill out forms or documents.
  • Make decisions or advise you about dividing community property.
  • Communicate directly with the courts.

“While this process can seem overwhelming, we’re here to help,” Moritz said. “We’re here to help ensure you get the help you need to navigate this challenging life transition.”