Pension Credits "Bought Back" Are Marital Assets By Gordon, Tepper, DeCoursey on August 13, 2019

New York State employees can sometimes purchase "service credits" for periods of prior state employment. These credits enhance the pension benefits the employee receives upon retirement. In this Second Department case, the police officer Husband purchased credits for prior part-time work as a janitor. While the part-time janitor work was performed prior to the date of marriage, the credits were bought back during the marriage with marital funds. For that reason, the Appellate Division upheld the lower court ruling that the purchased service credits were marital propeerty. However, because the Husband began his police career fifteen months prior to the start of the marriage, the portion of his retirement benefits earned during that time were his separate property and could not be distributed by the Court. See Burke v. Burke, 2019 NY Slip Op 06060.

Pensions can often be one of the most valuable assets in a marriage. If you are getting divorced and you or your spouse have employer-provided pensions, you should contact an attorney to ensure that the pension benefits are handled properly. 

Related to This

Gordon, Tepper & DeCoursey, LLP office

Gordon, Tepper & DeCoursey, LLP

Gordon, Tepper & DeCoursey, LLP, in Glenville can represent your family's best interests during a divorce, separation, or appeal. Our highly knowledgeable attorneys have been trained at prestigious institutions and are recognized by organizations including:

  • The Best Lawyers in America®
  • Super Lawyers®
  • Martindale Hubbell®
  • U.S. News & World Report

To speak with one of our family law attorneys, call  (518) 399-5400 or request an appointment online.

Contact Us Today

Rate, Review & Explore

Social Accounts Sprite