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Committee advances amendment to allow child-support arrearage claims against retirement distributions
Summary
Senate Bill 237, as amended, would permit a one-time lump-sum distribution from retirement plans to pay child-support arrearages upon a distributable event while preserving plan rules on authorized distributions and tax consequences; the committee moved the bill favorably with amendments addressing KPERS concerns.
Senate Bill 237 was advanced by the Senate Judiciary Committee as amended to allow child-support claimants to seek a one-time lump-sum distribution from a parent's retirement plan upon a distributable event to pay arrearages, while preserving plan terms on whether distributions are authorized and noting that such distributions remain subject to tax and penalties when…
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