Employer-sponsored pensions are valued in a two-step process. First, the total value of the pension-holder’s pension must be determined. This “preliminary value” represents the entire period in which the pension was earned up until the date of marital separation.
Second, the preliminary value is then pro-rated to reflect the value earned during the pension-holder’s marriage to their spouse. This is known as the “family law value.” Once the Family Law Value has been calculated, it is factored in determining the pension-holding spouse’s Net Family Property for purposes of equalization.
