Employee and Employer Contributions
Most 401(k) accounts include both employee deferrals and employer contributions. In divorce, the starting point is often to divide the value accumulated during the marriage. However, caution is key—some employer contributions may not be fully vested.
Unvested contributions may be forfeited if not yet earned under the plan’s vesting schedule. If these contributions are included in the QDRO calculation, the alternate payee could end up receiving less than expected. Make sure your QDRO clearly defines whether it includes only vested balances.

