Employee vs. Employer Contributions
In 401(k) plans, it’s common to have both employee (the portion your spouse defers from their paycheck) and employer contributions (matching or discretionary contributions). Employer contributions often follow a vesting schedule — meaning they might not be 100% owned by your spouse at the time of divorce. If your QDRO mistakenly includes unvested funds, the alternate payee (the non-employee spouse) could receive less than expected.
We make sure to clearly define whether the shared portion includes only vested balances at the time of divorce or future vesting as well.

