Employee and Employer Contributions
With 401(k) plans, both the employee and the employer typically contribute funds. A common QDRO mistake is dividing only the employee’s contributions while overlooking the vested employer match.
You and your attorney need to determine:
- What portion of the employer contributions is vested as of the cutoff date for division (usually the date of separation or divorce)
- If any of the employer contributions will become vested after the date of division
Only the vested portion of employer contributions can be divided in a QDRO. It’s important to use accurate records from the plan administrator for this step.

