Dividing Employee and Employer Contributions
401(k) plans include contributions from both the employee and, often, the employer. In the divorce process, the QDRO should specify whether the division applies only to employee contributions or also includes employer contributions. For the Bighorn Law Retirement Plan, this can be critical if there are generous company matches or profit-sharing components.
Make sure the QDRO addresses:
- The cutoff or valuation date (often the date of separation or divorce)
- What portion of the plan (employee contributions, employer match, earnings/losses) is to be divided
- How fluctuation in market value is handled (e.g., include gains/losses through date of distribution)

