Thought of the Week | GEPF system and divorce: New rules when making payment to ex-spouse

Historically, Government Employee Pension Fund (GEPF) members were subjected to a “debt model” when they implemented a divorce settlement that made provision for a payment to a former spouse from the Fund. Essentially it was structured in such a way that the pension fund withdrawal was treated as a debt owing to the Fund by the member, which had to be paid back.

However, on 1 August 2019, new rules came into operation, removing this “debt approach”. Now, after payment is made to the former spouse, the member’s years of pensionable service shall be reduced to take into account the pension interest that was assigned to any former spouse of the member. This will ensure that there is no debt owing to the fund by the member.

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