HOW MUCH OF THE TSP IS THE SPOUSE ENTITLED TO IN VIRGINIA?
If your spouse worked for the federal government during your marriage, they may have opened a Thrift Savings Plan, abbreviated as TSP. Comparable to a civilian 401(k) plan, a TSP is considered to be a major asset in most divorces of federal employees.
Although the Thrift Savings Plan belongs to the spouse who opened it as a result of their employment with the federal government, that does not mean that this asset is not added to the table for division when marital assets are divided during a divorce.
Thrift Savings Plans are divided based upon the number of months that the federally employed spouse worked for the government and contributed to their TSP, and the number of months that the parties were married, ending on the date of separation. The number of months is then divided equally; each spouse shall receive fifty percent. This number is referred to as the marital share of the Thrift Savings Plan.
To divide the Thrift Savings Plan, a Qualified Domestic Relations Order (QDRO) is prepared by a lawyer. Michelle Hopkins at The Hopkins Law Firm has extensive experience preparing Qualified Domestic Relations Orders. If you need assistance with the preparation of yours, she is ready to assist you.
If the federally employed spouse has not yet retired, the Thrift Savings Plan division shall occur by Court Order, formally known as a Court Order Acceptable for Processing (COAP). The details of the division are formally recorded in this Court Order, and a copy is filed with the Office of Personnel Management (OPM), where it will wait to be fulfilled until the spouse retires.
In rare circumstances, a spouse may choose to waive their marital share of their spouse’s Thrift Savings Plan. Before agreeing to waive a share of marital assets, be sure to consult with a lawyer, such as Michelle Hopkins or Tyler Melton of The Hopkins Law Firm.
Schedule A Consultation
The Hopkins Law Firm is waiting to assist you with the fair division of marital assets. Michelle Hopkins has extensive experience with Thrift Savings Plans and she is ready to assist you with yours. Contact us today at 571-248-2210 or info@mhopkinslaw.com to schedule a consultation.