Does the employee have a divisible account
balance? An employee does not have a divisible "account balance" with
respect to any specific period of time, such as the period of the marriage, or
as of any given date, such as the date of divorce. Therefore, it is impossible
to establish a separate account for the share awarded to a spouse/former spouse
or to segregate the share awarded.
What happens to a partitioned annuity
upon the death of the employee or the spouse or former spouse?
Payments under a court order to a spouse, and prior to August 17, 2007,
payments to former spouse terminate upon the
death of the employee, or the spouse/former spouse, whichever takes place first.
Payments to the former spouse of an entitled employee who dies on or after
August 17, 2007 may continue, albeit at a flat rate as explained in 109-G. If the
spouse/former spouse dies first, payment of the amount that the spouse or former spouse
was receiving, or could receive under the order, reverts to the employee as his
property and does not become the property of the estate of the spouse or former
spouse. The spouse or former spouse may
qualify for payment of a survivor annuity under the RRA
What is the maximum amount that can be
awarded in a state court order partitioning the employee's benefits?
The RRA does not set or limit the amount that a court may award to a spouse
or former spouse as his or her share of the employee's divisible benefits,
except that an amount greater than the amount of the divisible benefits may not
be awarded. Rather, the court sets the award by applying relevant state domestic
relations law or by approving the provisions of a property settlement agreement
between the parties.
Can the RRB be joined as a party to a
divorce action?
No. The RRB cannot be joined as a party to any action for divorce,
separation, or annulment. As an agency of the Federal government, the RRB is
immune from suit in state domestic relations actions and the records it
maintains are not subject to subpoena by the Court.
Can the RRB report whether an employee
has a profit sharing plan, 401(k) plan, or other similar monetary asset through
his employment?
No. The RRB does not maintain any such information. The only information the
RRB can supply is information about the employee's actual or potential right to
receive an annuity under the RRA. The amount of any actual or estimated annuity
payments under the RRA may also be reported in connection with a state court
action for divorce, legal separation, or annulment.
Does remarriage of the former spouse
affect payment of the amount of the partition?
Remarriage would have no effect unless the court order that granted the
partition requires termination of payment upon remarriage. Since the partitioned
amount is an "award of property" and not a "benefit" that could be affected by
remarriage, the partition payment is ordinarily payable regardless of the
marital status of either party.
Does an employee's marriage have to last
at least 10 years before a court can order a partition of his annuity?
No. While the length of marriage of the parties may be relevant to the court
in distributing the marital property, it is not relevant as to whether the
divisible components of an employee's annuity are subject to division by the
court. (As explained in
Appendix D, the length of marriage of the parties is relevant to
whether a divorced spouse is eligible for a divorced spouse annuity
under the RRA.)
What is the difference between a divorced
spouse annuity and a partition?
A divorced spouse annuity is a monthly benefit payable to a former spouse who
meets the conditions as described in
Appendix D. This payment does not reduce the employee's annuity
and, beginning August 17, 2007, may be payable even though the employee is not
yet entitled to an annuity under the RRA or is entitled to an annuity under the
RRA or is entitled but the employee's annuity is not payable due to work or
earnings. A
partition is a specified payment of a portion of the employee's divisible
components of his/her annuity pursuant to a court order, which results in a
reduction in the annuity paid to the employee. An employee must be
entitled to an annuity under the RRA, or have been entitled to an annuity in the
month prior to his or her death if that death occurs on or after August 17,
2007, in order for a partition award to be payable. Furthermore, a
partition award is not payable for any month in which payment of the employee's
annuity is suspended due to work, earnings or to recover an overpayment.
Partition awards that remain payable after the employee’s death may be reduced,
as they are based only on the employee’s Tier II annuity component, and are no
longer subject to any cost of living increases provided for under the terms of
the partition as per Appendix B (3). These adjustments are effective with
the month of the employee's death. See 109-G.
Can a spouse/former spouse or surviving
divorced spouse receive both a
partition award and an annuity based on his/her relationship to the employee?
Yes. The spouse, divorced spouse or surviving divorced spouse annuity is payable based upon the
provisions of the RRA and the Court cannot affect entitlement to such annuity.
The partition award is payable according to the terms of a valid court order and
is not affected by the payment of an annuity under the RRA to the spouse/former
spouse.
Will the RRB "pre-approve" a draft court
order dividing an employee's annuity under the RRA?
Yes, the Office of General Counsel will review draft orders. Such orders may
be mailed to
Deputy General Counsel
U.S. Railroad Retirement Board
844 North Rush Street
Chicago, IL 60611-2092
Email: |
LAW@rrb.gov |
Fax: |
(312) 751-7102 |
Phone: |
(312) 751-4948 |
|
(While final orders may be submitted via fax, a certified copy of the
document must follow in order for the RRB to be properly served.)
What is the difference between a
surviving divorced spouse annuity and a partition payable after the emplyee's
death?
A surviving divorced spouse annuity is a monthly benefit payable to a
surviving former spouse based on the provisions of the RRA, with the eligibility
requirements found in 20 CFR §216.62. Unlike a partition award payable after the
death of the employee, the date of the employee’s death and his entitlement to
an annuity prior to that event is not controlling for this annuity eligibility.
Eligibility for a surviving divorced spouse annuity, like, however , all
survivor annuity eligibility under the RRA, requires that the employee have a
current connection with the railroad industry at the time of his/her death.
(Current connection requirements are explained in 20 CFR Part 216 Subpart B.) A
partition is payable after the employee’s death only if the employee was
entitled to an annuity prior to his/her death, the decree awarding the partition
was received in the Office of the General Counsel prior to the month of the
employee’s death, and the employee’s death occurred no earlier than August 17,
2007. The continued payment of a Tier II based, fixed rate partition award after
the employee’s death, however, is not dependent on whether or not the employee
had a current connection with the railroad industry. (See ¶109-G).
|