401(k) Contributions: Employee vs. Employer Funds
The Flynn/wright, Inc.. 401(k) Profit Sharing Plan likely includes both employee deferrals and employer profit-sharing contributions. When dividing this plan, it’s essential to distinguish between:
- Employee contributions: Usually 100% vested and available for division.
- Employer contributions: May be subject to a vesting schedule. Only the vested portion is divisible.
If a portion of the employer’s contributions is unvested at the time of divorce, those funds usually cannot be included in the division. However, QDROs can include “if, as, and when” language to account for future vesting if allowed by the plan.

