BNN Bloomberg: Divorce & Retirement Savings - Featuring Christopher Yu, Shulman & Partners

In an interview with BNN Bloomberg, Christopher Yu, Partner at Shulman & Partners LLP, provided practical insights on how pensions are treated under Ontario family law. He explained that pensions are not just a future source of income but a form of marital property that must be valued and divided like other assets. As more Canadians face separation later in life, understanding how pensions, CPP credits, and retirement savings fit into the property division process is crucial for financial clarity and long-term planning.

“Your pension is an asset just like a chequing account, just like a savings account. There's a value to your pension that's subject to division.”
— Christopher Yu, Partner at Shulman & Partners LLP

During his appearance, Christopher discussed how pensions are categorized as marital property in Ontario and how their value is divided upon separation. He noted that only the portion of a pension accumulated during the marriage is considered divisible. Any contributions made before the marriage remain the sole property of the contributing spouse.

Christopher emphasized that couples must obtain a formal valuation of the pension to determine its “family law value.” This can be done through the pension plan administrator or, in some cases, by hiring a private actuary who can also assess tax implications for future withdrawals. Once a value is established, the pension is added to the list of marital assets to be divided.

Negotiations may involve trade-offs, where one spouse keeps the pension while the other retains assets of equivalent value, such as a vehicle or savings. Christopher explained that this approach can help couples reach equitable settlements that suit their individual financial needs.

He also clarified that Canada Pension Plan (CPP) credits earned during the marriage can be divided equally between spouses. This provision ensures fairness, particularly when one spouse has stayed home to raise children while the other has worked outside the home.

Christopher cautioned couples to remember that the eventual taxation of pension withdrawals can affect its real value. Adjusting for potential tax costs ensures a more accurate and fair division of assets. Finally, he observed that divorces are increasingly occurring later in life—a trend that makes pension division even more significant, as it can substantially impact retirement planning. For many older couples, overlooking these financial details can have lasting consequences for their post-divorce stability.

Watch the full BNN Bloomberg segment here.

This media appearance is part of Shulman & Partners LLP’s ongoing contributions to Canadian family law discussions. Explore more of our media features in our In the Media archive.