Skip to main content

Will I get penalized for moving my 401k to an IRA before my divorce trial? I lost my job.

Bronx, NY |
Filed under: Divorce

My divorce trial is coming up and I want to move my 401k to an IRA. Since this is a QDRO acct I don't want to get in trouble with the judge. I'm not withdrawing any money, just moving it to my financial consultant to manage instead of the company's investment firm. I lost my job so my money is just sitting there.

Attorney Answers 3

Posted

The automatic orders preclude that activity without the consent of the other party.

Under the rules governing the conduct of attorneys in New York it may be necessary to remind you that this answer could be considered attorney advertising.

Mark as helpful

5 lawyers agree

Posted

Yes, if you transfer the funds without consent of the other party or court authorization, you will be guilty of contempt. The Automatic Orders prohibit such transfers: http://www.nycourts.gov/divorce/forms_instructions/Notice.pdf. Schedule a consult with a Bronx Divorce lawyer for a full assessment.

* If you found my answer to be "HELPFUL," or the "BEST ANSWER," please feel free to mark it accordingly.

Mark as helpful

3 lawyers agree

Posted

Yes, but I don't think much will come from it if the money is all there and you have not placed it at risk, or if you have placed it at risk, that it holds its value. Your attorney should have been consulted and so s/he could advise you before you did it. Now that it's done, make sure your attorney is aware and addresses it.

If you found this "helpful" or "best answer," please click it with my appreciation. My response is for educational purposes and does not constitute legal advice nor creates an attorney client relationship which requires all the details and a personal conference.

Mark as helpful

Divorce topics

Top tips from attorneys

What others are asking

Can't find what you're looking for?

Post a free question on our public forum.

Ask a Question

- or -

Search for lawyers by reviews and ratings.

Find a Lawyer

Browse all legal topics