Employee and Employer Contributions
The plan likely includes:
- Employee deferrals (pre-tax and possibly Roth)—these are always 100% vested.
- Employer matching or profit-sharing contributions —vesting schedules probably apply.
One common mistake is trying to divide the entire account balance when some employer contributions aren’t fully vested. In that case, the alternate payee doesn’t have rights to the unvested portion unless the plan participant meets specific service requirements after divorce.

