Divorce/separation

If your employee is divorced or separated, his or her former partner is entitled to half the retirement pension built up during the marriage. The former partner can also waive this pension equalization. Such an arrangement must be set out in the divorce settlement.

Retirement pension scheme – Equalization of pension benefits

Former partners are legally entitled to half of the retirement savings accumulated during the marriage or registered partnership. Your former partner’s entitlement to these pension benefits will end at the time of your death. If your former partner should die before you, you will regain entitlement to the full pension benefits.

You and your former partner may agree to deviate from these standard arrangements. You may, for example, agree with your former partner that he or she waives pension equalization or a special partner’s pension.
Any such arrangements must be laid down in a prenuptial or postnuptial agreement or in a divorce agreement.

Partner’s pension – Divorce

Provided that an insurance policy is in place, you will have built up a partner’s pension for your partner until the date of separation or divorce. After the divorce, your former partner will retain entitlement to this pension, provided that the pension scheme provides for accrual of entitlement to a partner’s pension. He or she will receive this benefit from the date of your death. As this concerns a former partner, it is known as the ‘special partner’s pension’.

Remarriage/new partner

If you have a new partner in accordance with the definition of a partner in the pension regulations, he or she will be entitled to the remainder of the partner’s pension after deduction of the former partner’s entitlement.

Amount of the special partner’s pension

The amount of the special partner’s pension differs between pension schemes, and may depend on whether you die before or after the retirement date. Some pension schemes feature a partner’s pension on a risk basis, which means that your former partner will not receive a special partner’s pension. The insurer will notify you and your former partner, if applicable, of the amount of the special partner’s pension.

Orphan’s pension

Provided that an insurance policy is in place, your children will retain their entitlement to an orphan’s pension after your divorce. Whether they live with you or with your former partner is of no consequence to that entitlement.