Employee and Employer Contributions
Both employee salary deferrals and employer matching contributions can be divided in a divorce. However, one key distinction to note is whether employer contributions are fully vested. Unvested contributions may not be available for division if the employee has not met the service requirements at the time of the divorce.
The QDRO must specify whether the division includes only vested funds at the time of separation, at the time of QDRO approval, or if it includes gains and losses through the date of distribution. These choices can make a large financial difference.

