Employee vs. Employer Contributions
When dividing a 401(k) account, it’s important to distinguish between:
- Employee Deferrals: These are contributions made directly from the employee’s paycheck—generally considered fully vested and subject to division.
- Employer Contributions: These may be subject to a vesting schedule. If not fully vested at the time of divorce or QDRO filing, a portion of these contributions may be forfeited and therefore not divisible.
For plans like the Good Feet 401(k) Plan, confirming the current vesting percentage is crucial. A poorly timed QDRO could result in the alternate payee losing part of what they believed they were entitled to.

