Dividing Employee vs. Employer Contributions
The Jane Marie LLC 401(k) Profit Sharing Plan & Trust likely involves both types of contributions. Here’s what that means:
- Employee Contributions: These are generally always 100% vested and can be split based on any date (e.g., marriage date or separation date).
- Employer Profit Sharing Contributions: These are usually subject to a vesting schedule. Any unvested portion may be forfeited if the participant leaves the job.
Make sure your QDRO specifies how to handle employer contributions—whether only vested amounts are divided or future vesting is included.

