What if I get divorced?

This could affect both your State Pension and any second pension arrangements.

Basic State Pension

Under current arrangements, if you and your husband divorce, you can use his National Insurance record instead of your own, for certain periods. This may mean that you get a better basic State Pension.

However, if you remarry before you reach State Pension age, you can’t use your ex- husband’s contributions. If you don’t have enough contributions of your own, you can use your new husband’s contributions to get a basic State Pension as long as he is getting his full State Pension.

Second pensions

If you get divorced or have your marriage annulled, the courts have to take into account the value of all your assets, including the value of your pension entitlement. This is so that the courts can decide how all your assets should be divided.

Since 1 December 2000, couples whose marriage ends in divorce or annulment have been allowed to share the value of their pension entitlement. The idea is to provide greater flexibility, choice and, where possible, a clean break. Pension sharing is not compulsory – it is simply an option available to divorcing couples who are entitled to second pensions, such as:

• an occupational pension;
• a stakeholder pension;
• a personal pension; and
• the additional State Pension.

Pension sharing does not apply to:

• the basic State Pension, as divorced people can already replace their own contributions record with their husband’s or wife’s record for the period the marriage lasted;
• couples who started divorce or annulment proceedings before 1 December 2000;or
• couples who separate but do not divorce.

Pension sharing only applies to divorce proceedings which started on or after 1 December 2000.

If you want to know more about how divorce affects your pension, you may want to get advice from a lawyer or an independent financial adviser (or both). If you live in England or Wales, you might also find the guide I want to apply for a Financial Order (D190) helpful. See the directory for details about how you can get a copy of this guide. In Northern Ireland, a court can make a pension sharing order in connection with proceedings for a divorce or annulment. In Scotland, a financial order can be made as part of divorce proceedings.