The Defense Department announced that military retirees and survivors will receive an increase in their pay and annuities in 2019.
At any age, a Massachusetts divorce can set you back financially, but ending a marriage later in life poses an extra threat: derailing a previously on-track retirement. As is true with younger couples, a divorce is likely to leave you with higher living expenses, lower in-come, and less wealth. But if you're fifty something or older, you'll have a lot less time to amass more earnings to make up for what you've lost.
Military marriages in Massachusetts experience strains and stresses in greater capacity than other marriages due to the complications that their jobs put on both spouses. Though these marriages can be extremely stressful and difficult, the overall divorce rate among both male and female service members only averaged 3 percent in 2017. To be more precise, about 21,290 of 689,060 married troops divorced in 2017. The divorce process for members of the military is relatively uniform to those who are not in the service. The main difference for these individuals is how to divide their retirement plans.
I am frequently asked, "Can I take money out of my 401K before/during my Massachusetts divorce?"
The new Blended Retirement System (BRS) created under the 2016 Nation Defense Authorization Act is a retirement system that blends the traditional legacy retirement pension with a defined contribution to Service members' Thrift Savings Plan account. This new Blended Retirement System goes into effect on January 1, 2018.