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Becton Dickinson Employees: Avoid These Costly Financial Mistakes During Divorce

“Becton Dickinson employees facing divorce can help safeguard their financial future by prioritizing asset transparency, maintaining sufficient liquidity, and rigorously forecasting post-divorce expenses” – Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement.

“Becton Dickinson employees navigating divorce proceedings should engage professional financial guidance early, maintain clear records of all assets, and implement a realistic budget to foster post-divorce stability” – Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article we will discuss:

Common costly mistakes Becton Dickinson employees make during divorce
Strategies for maintaining asset transparency and liquidity
How to forecast and manage post-divorce expenses

Even though financial issues are frequently discussed during divorce, many Becton Dickinson employees make the same expensive mistakes, which can have long-term, irreparable effects. According to Patrick Ray, Senior Vice President and Financial Advisor at Wealth Enhancement, “advance planning can help people going through divorce mitigate costly mistakes.” Divorce can cause long-term financial harm to both men and women, but women are more at risk when assets and income sources are separated because they typically make less money. ¹

1. Excessive Expenditure on Celebrations and Lifestyle

It is all too typical for one or both ex-spouses to justify extravagant expenditures with a divorce settlement. These impulse purchases—such as buying a new, unaffordable car or going on lavish vacations—can quickly drain settlement funds. The desire to become a homeowner too soon may also be harmful. According to Ray, “it’s very tempting to start over right away, but that may result in buying too quickly, overpaying, or taking on too much debt.” Emotional turmoil often impairs judgment, leading to interest-only mortgages or high down payments that can strain one’s finances.

2. Inability to Locate and Retrieve Hidden Assets

Transparency in finances is essential to reaching a fair settlement. However, some spouses employ pre-divorce strategies to gain an advantage, such as moving money to family members or hiding assets in corporate entities. “Moving assets into businesses or transferring money to friends or family to conceal their value is one of the oldest tricks in the book,” Ray notes. Such tactics are frequently discovered only after completion, when it may be too costly or difficult to recoup hidden monies. It is crucial to hire a forensic accountant or investigator as soon as possible to protect your interests.

3. Letting Emotions Drag Out the Procedure

Attorney fees for protracted litigation fueled by emotional disagreements—over property or custody—can add up fast. “I’ve seen families spend hundreds of thousands of dollars on legal bills just because their feelings took precedence over sound financial judgment,” Ray adds. In addition to depleting the settlement fund, a drawn-out legal struggle makes it more difficult to restart financially. Rather than playing out this turmoil in the courts, Ray suggests seeking help from friends, family, or mental health professionals if emotional support is required to gain greater clarity or perspective.

4. Mishandling Illiquid Assets of the Marriage

Real estate, retirement savings, private equity interests, and restricted stock are examples of assets that need to be handled carefully. Recipients can later find that they are unable to access or sell these holdings without paying large fines or realizing unexpected losses. “Liquidity is critical. In some cases, it makes more sense to exchange illiquid assets for ones you can access and manage immediately,” Ray says. Structured payout provisions—such as regular cash distributions based on asset performance—can help preserve value and ease the transition.

5. Not Accounting for Post-Divorce Costs

It takes more than just cutting costs to transition from a dual-income to a single-income household; it also requires accurate forecasting. The cost of necessities like energy, housing, health insurance premiums, and child-related expenses mostly stays the same or even rises. “Expenses for housing, utilities, health insurance, and raising children don’t simply disappear,” Ray warns. To prevent cash flow problems, he emphasizes creating a thorough budget, conducting monthly expense reviews, and scrutinizing discretionary spending such as entertainment, dining out, and subscriptions.

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Key Data Point:

After a divorce or separation, women over 60 experience a 41% reduction in household income—nearly twice as much as men’s 23%percent drop—according to a Georgetown University Center for Retirement Initiatives analysis released May 19, 2023 (https://cri.georgetown.edu/the-unique-and-varied-challenges-women-face-planning-and-preparing-for-retirement/).

Conclusion

People can navigate divorce with greater financial resilience by recognizing and steering clear of these five pitfalls: overspending, hidden assets, emotional prolonging, illiquid holdings, and underestimated living expenses. In addition to safeguarding settlement funds, early professional guidance, careful budgeting, and strategic negotiating can help pave the way toward a more stable financial future for Becton Dickinson team members.

Analogy:

Divorce finances are like navigating a ship through stormy seas: overspending on celebratory luxuries is like being tossed by sudden high waves; hidden assets are submerged reefs waiting to breach your hull; emotional disputes pull you into eddies that stall your progress; illiquid holdings are barnacles slowing your ship’s speed; and underestimating ongoing living expenses is like miscalculating provisions for the voyage. Without clear-eyed budgeting, asset transparency, and strategic course corrections, every misstep could capsize your financial journey.

Sources:

1. Pew Research Center. ' Gender pay gap in U.S. has narrowed slightly over 2 decades ,' by Richard Fry and Caroline Aragao. 4 Mar. 2025.

Other Resources:

1. Locus, Heather. “Five Key Areas Where Divorcing Individuals Make Mistakes.” Forbes, 18 July 2023, https://www.forbes.com/sites/heatherlocus/2023/07/18/five-key-areas-where-divorcing-individuals-make-mistakes/ .

2. Pinto, Aviva. “Financial Pitfalls To Avoid During And After Divorce.” Forbes Councils, 11 Mar. 2025, https://www.forbes.com/councils/forbesfinancecouncil/2025/03/11/financial-pitfalls-to-avoid-during-and-after-divorce/ .

3. Money and Divorce: 6 Financial Mistakes to Avoid. Morgan Stanley, 28 Mar. 2025, https://www.morganstanley.com/articles/divorce-financial-planning-guide .

4. “Older Couples Planning a Divorce Have More Assets to Divide.” AARP, 19 May 2023, https://www.aarp.org/money/personal-finance/financial-impact-of-divorce/ .

5. Gustke, Constance. “Retirement Plans Thrown Into Disarray by a Divorce.” The New York Times, 27 June 2014, https://www.nytimes.com/2014/06/27/your-money/retirement-plans-thrown-into-disarray-by-a-divorce.html .

How does the Becton Dickinson and Company defined benefit plan differ from the cash balance plan in terms of eligibility and benefit calculation? Employees at Becton Dickinson and Company should be aware of how their retirement options and benefit calculations are structured, especially considering the historical context and the changes made after

Defined Benefit vs. Cash Balance Plan: The Becton Dickinson and Company defined benefit plan and cash balance plan differ significantly in terms of eligibility and benefit calculations. The defined benefit plan, which was the original format, calculates benefits based on the employee's final average pay, age, and years of service. On the other hand, the cash balance plan, introduced in 2007, provides a hypothetical account balance that grows with defined pay and interest credits. For eligibility, new hires after January 1, 2018, cannot join either plan, reflecting a closure to new entrants. Those rehired or transferred within the company after this date also cannot accrue new benefits under the cash balance plan.

This question encompasses the differences in participation rules, the implications of being hired before or after January 1, 2018, and how various employment classifications affect benefits.

Pension Benefits Calculation: Under the BD Retirement Plan, pension benefits are calculated based on 'Total Compensation,' which includes various forms of income like base salary, bonuses, and other regular compensations. The benefit is determined by 'Credited Service' and 'Vesting Service,' impacting the final benefit amount. Vesting in the plan occurs after five years of service, ensuring that employees are entitled to benefits regardless of subsequent employment duration.

In what ways are pension benefits and service calculated under the Becton Dickinson and Company BD Retirement Plan? The complexities involved in determining the pension benefit calculation are crucial for employees to understand as they plan for retirement. A discussion on how Total Compensation, Credited Service, and Vesting Service impact the final benefit amount will provide clarity to employees regarding their financial planning as they approach retirement.

Maximum Benefit Limits: Employees should be aware of IRS-imposed limits on contributions and benefits under retirement plans. For 2018, the compensation limit recognized for pension calculations was $275,000, adjusted annually for inflation. This affects the projected retirement benefits and requires employees to stay informed about annual adjustments to plan accordingly.

What specific maximum benefit limits should employees at Becton Dickinson and Company be aware of regarding their retirement plans and how do these limits adapt annually? Understanding the implications of IRS limits for defined benefit plans and cash balance plans is vital for employees at Becton Dickinson and Company. This question would delve into how annual adjustments might affect their projected retirement benefits and the importance of staying informed about these limits.

Addressing Discrepancies or Denial of Benefits: If discrepancies or wrongful denials occur concerning retirement benefits, Becton Dickinson and Company employees should contact the Plan Administrator. The process includes filing claims and understanding the rights to appeal under the Employee Retirement Income Security Act (ERISA). This structured approach helps employees rectify issues with their retirement benefits effectively.

How can Becton Dickinson and Company employees address discrepancies in their benefit calculations or if they believe they have been wrongfully denied benefits? The processes for appealing decisions made regarding retirement benefits can greatly impact an employee's financial future. This question would outline the steps employees can take, including contacting the Plan Administrator and the importance of understanding their rights under the Employee Retirement Income Security Act (ERISA).

Role of Committees in Managing the Retirement Plan: The Plan Administrative Committee and the Investment Committee play critical roles in overseeing the BD Retirement Plan. The former handles the plan's administration, ensuring compliance and managing benefit claims, while the latter focuses on the investment of plan assets. Employees can seek clarification or get involved by attending committee meetings or contacting them directly for specific inquiries.

What roles do the Plan Administrative Committee and the Investment Committee play in managing the BD Retirement Plan of Becton Dickinson and Company, and how can employees get involved or seek clarification on their plans? Employees interested in understanding the governance of their retirement plan will benefit from knowing who oversees the administration and investment of their benefits and how they can participate in discussions or seek advice.

Impact of Early Retirement: Early retirement affects the calculation of pension benefits, which are reduced based on the number of years retirement is taken before the normal retirement age. The plan allows for early retirement from age 55 with at least 10 years of service, with benefits reduced to compensate for the longer payout period.

How does the early retirement benefit impact employees at Becton Dickinson and Company, particularly in terms of eligibility and the calculation of reduced benefits? By exploring the conditions under which early retirement is permitted, along with calculations related to the reduction in benefits for taking early retirement, employees can make more informed decisions based on their personal circumstances.

Ensuring Accuracy of Retirement Benefits: To ensure accuracy in the calculation of retirement benefits, especially after changes in personal circumstances such as marital status or address, employees are encouraged to promptly update their information with HR. Regular reviews of their retirement plan statements and maintaining communication with the plan administrator are advisable practices.

What steps should employees of Becton Dickinson and Company take to ensure their retirement benefits remain accurate and up-to-date, especially after a change in personal circumstances? This question addresses the importance of regularly updating personal information and understanding the repercussions of life changes on retirement benefits, ensuring employees are proactive in managing their future.

Alternatives for Non-Eligible Employees: Employees not eligible for the BD Retirement Plan, possibly due to the timing of their hire or their role, should explore other retirement savings options like IRAs or the BD 401(k) Plan. These alternatives provide avenues for retirement savings, even for those not covered under the traditional pension plans.

What alternatives exist for Becton Dickinson and Company employees who are not eligible for the BD Retirement Plan, and how can they plan for retirement adequately? This discussion can help inform employees who may fall outside the eligibility criteria about other retirement savings options, such as Individual Retirement Accounts (IRAs) or employer-sponsored 401(k) plans.

Determining Survivors' Pensions: The survivor's pension is determined by the pre-retirement surviving spouse benefit, which generally provides a monthly benefit of 50% of the employee's pension, payable to the spouse for life after the employee's death. This emphasizes the importance of employees designating beneficiaries and understanding the impact of these decisions on their family's financial security.

In the context of the Becton Dickinson and Company BD Retirement Plan, how are survivors' pensions determined, and what options are available for employees regarding beneficiaries? Employees often overlook the significance of beneficiary designations. This question would clarify the process and options available for ensuring that survivors receive entitled benefits and the financial implications of different choices made regarding pension benefits for spouses and dependent children.

Contacting the Plan Administrator: Employees seeking more information about their retirement benefits should contact the Plan Administrator. Preparedness for such inquiries includes having detailed personal and employment information, understanding their current benefits status, and having specific questions or concerns about their plan benefits.

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For more information you can reach the plan administrator for Becton Dickinson at 1 Becton Dr Franklin Lakes, NJ 7417; or by calling them at +1 201-847-6800.