Financial Planner

Answer: B - During a divorce the financial planner will introduce two methods for the division of retirement plans. The buy-out method is for nonemployee spouses to receive a lump sum settlement or marital asset of equal value at the time of divorce in return for the employee’s right to keep the retirement plan. The deferred division or future value method offers no present value of funds; each spouse gets an equal share of the benefits when they are paid.