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Divorce - Compensation for my lack of pension contributions

(11 Posts)
Bluebridgemummy Fri 18-Oct-13 20:48:37

I'm in the process of going through financial mediation and was wondering if anyone had any experience of whether it is possible to argue for compensation relating to not being able to make any pension contributions as my husband and I agreed that I should stop work when we had our first child 4 years ago. I worked full time with a good salary and paid into a final salary pension scheme which pays out 1/60th of final salary for each year of membership. Am hoping I can argue that i should be compensated by my husband for say 4/60th of final salary at the point that i left work - any thoughts?
It adds up to quite a lot assuming 20 years of retirement. I'm not after a pension sharing order but more keen on trying to increase the amount of capital we get so keen to find a basis for arguing for this. My husband has an extraordinarily large pension pot and massive salary so there is arguably plenty of money to go around...

mumblechum1 Fri 18-Oct-13 20:51:28

A lot would depend on the length of your marriage. How many years is that?

Bluebridgemummy Fri 18-Oct-13 20:55:52

Married four and a half years, but cohabited for 2 before that.

iheartdusty Fri 18-Oct-13 20:57:05

In principle, being compensated for giving up work in order to contribute to the marriage by child care or home case is certainly appropriate. And if your arrangements mean that you won't be returning to full-time work, or work equivalent to what you used to do, due to your child care commitments, then the contributions by you are continuing and so should the compensation. You may be doing yourself down by limiting it to 4/60 if in fact the effect on you is much longer term.

Needs, compensation, and sharing are the three principles, by reference to the factors under s25 Matrimonial Causes Act 1973.

iheartdusty Fri 18-Oct-13 20:58:11

yes, length of marriage is important, but of paramount importance is the fact that you have at least one child. "children change everything" when it comes to financial orders.

Bluebridgemummy Fri 18-Oct-13 21:04:26

Yes absolutely, if it wasn't for the kids I'd be long gone by now and looking after myself financially! I'm unlikely to return to work for another couple of years as 2nd child is only just 2, and even then probably only part time so will add on a few more 1/16ths! Can't hurt at this stage!

mumblechum1 Sat 19-Oct-13 09:43:37

yy, the paramountcy of the welfare of the children stands overall, but the pensions issue will be decided primarily on length of marriage.

2468Motorway Sat 19-Oct-13 09:53:42

My understanding is that you'd be entitled to a percentage of whatever his pension or contributions would be, not to have what you may have earn if you had been working. This could be to your advantage or not.

Collaborate Sat 19-Oct-13 11:10:04

The diminution of your earning capacity represents a continued contribution to the welfare of the family. You'll need to take some formal advice if you want guidance about how that should affect your negotiations. The mediator should be telling you both to get legal advice . Tends to keep you both realistic.

Tdeegan Sat 19-Oct-13 12:46:18

Have a look at s25 Matrimonial Causes Act 1973 it's what is used to decide cases and your contribution to bringing up the children is worth just as much as your husband working. It's not a long relationship but you can include your cohabitation and its certainly one of reasonable length. The welfare of the children is still the first consideration. It's best to look at what his pension is worth compared to yours and go for equalisation of benefits or more capital in return. You should be getting legal advice alongside the mediation.

Joy5 Sun 20-Oct-13 14:51:19

Hi
I'm in the middle of sorting finances, due in court just after the New Year, the pension sharing is one of the few things thats certain.

The starting point is equal share of pensions, after marriage and children. In my case as i'm the same age as my ex and i'm female (females seen to live longer) theres a chance the judge may award me a higher percentage of the split. Seeing as i've only asked for a smaller share in the offers i've made so far, maybe after the stress and worry of court, combined with having to represent myself, maybe i'll come out smiling about some things smile

Even so, i wouldn't wish this stress on anyone, hope the OP manages to sort things at mediation.

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