Introduction
Dividing retirement benefits during divorce can be one of the most important—and confusing—parts of reaching a fair settlement. If you or your spouse has benefits in the Ti Contribution and 401(k) Savings Plan sponsored by Texas instruments incorporated, the best way to divide those funds is through a Qualified Domestic Relations Order (QDRO). A QDRO gives legal authority for the plan to pay the non-employee spouse their share of the benefits—without early withdrawal penalties or tax consequences (if done properly).
But not all QDROs are the same. In fact, 401(k) plans like the Ti Contribution and 401(k) Savings Plan require special attention to things like loan balances, vested vs. unvested contributions, and the differences between traditional and Roth accounts. At PeacockQDROs, we’ve seen how missing these details creates costly delays—or worse, an unfair outcome. Let’s walk you through what you need to know about QDROs and divorcing with this specific plan.
Plan-Specific Details for the Ti Contribution and 401(k) Savings Plan
Before drafting or submitting a QDRO, it’s important to understand the legal and administrative details of the plan itself:
- Plan Name: Ti Contribution and 401(k) Savings Plan
- Sponsor Name: Texas instruments incorporated
- Sponsor Address: 13570 N. Central Expressway
- Plan Type: 401(k) defined contribution plan
- Effective Dates: Established January 1, 1998; current plan year 2024-01-01 to 2024-12-31
- Industry: General Business
- Organization Type: Corporation
- Status: Active
- Plan Number and EIN: Required as part of QDRO documentation, though currently Unknown (confirm with Plan Administrator)
When preparing a QDRO for this plan, your attorney or QDRO specialist will need to confirm the EIN and Plan Number directly with Texas instruments incorporated or from plan documents.
Key Considerations When Dividing the Ti Contribution and 401(k) Savings Plan
Employee vs. Employer Contributions
401(k) plans usually contain both employee deferrals and employer contributions. Under many Texas instruments incorporated policies, the employee’s contributions are always 100% vested. However, employer contributions—like match or profit-sharing—often have a vesting schedule. That means if the employee hasn’t worked at the company long enough, part (or even all) of the employer’s contributions may not be available to divide.
Your QDRO should specify how vesting is handled. You can:
- Include only the vested portion of employer contributions as of the date of divorce
- Include future vesting (if the alternate payee is to receive a share of later-earned benefits)
Always confirm the vesting schedule with the plan administrator. A copy of the summary plan description (SPD) or a participant’s detailed benefit statement will tell you which portions are currently vested.
Loan Balances and Repayment
Many participants borrow against their 401(k) plans. If there’s an outstanding loan in the Ti Contribution and 401(k) Savings Plan, it creates a complication in division. Here are your options:
- The QDRO can divide the account balance net of the loan (e.g., reduce the total by the balance due)
- The QDRO can divide the gross balance (not factoring in the loan)
- Repayment responsibilities can be assigned in the divorce decree (though this does not necessarily bind the plan)
Be aware: a 401(k) loan is not assignable to the ex-spouse. The participant remains responsible for repayment, and default could reduce both parties’ expected benefits. PeacockQDROs carefully addresses this issue in each QDRO.
Roth vs. Traditional 401(k) Accounts
The Ti Contribution and 401(k) Savings Plan likely contains both pre-tax (traditional) and post-tax (Roth) contributions. This matters because distributions from each type receive very different tax treatment.
A well-drafted QDRO must:
- Differentiate between Roth and traditional balances
- Assign a percentage or dollar amount from each separately, if applicable
- Ensure the alternate payee understands the tax implications when withdrawing funds
Failing to address account types can lead to unexpected taxes or disputes during payout. Always request a statement that breaks out Roth vs. traditional balances when preparing your QDRO.
Drafting and Submitting a QDRO for the Ti Contribution and 401(k) Savings Plan
Step 1: Get Plan Information
Secure a current plan statement and a copy of the Summary Plan Description (SPD). These documents will help your QDRO specialist understand the structure of the Ti Contribution and 401(k) Savings Plan, including account types, vesting, and loan balances.
Step 2: Draft the QDRO
The QDRO must clearly outline:
- The names and addresses of both parties
- The specific plan being divided (e.g., “Ti Contribution and 401(k) Savings Plan”)
- How the benefit is divided (percentage of account as of a specific date, or fixed dollar amount)
- How Roth and traditional funds are handled
- Any instructions about loans or outstanding obligations
- A statement about what happens if part of the benefit is unvested
Many QDRO rejections happen because the language is too vague or doesn’t comply with plan rules. At PeacockQDROs, we know what this plan requires and use clear, tested language that meets review standards.
Step 3: Pre-Approval and Court Entry
We always recommend sending your draft to the plan administrator for optional pre-approval before getting it signed by the judge. Not all plans allow this, but if Texas instruments incorporated does, it can save weeks—or even months—of delays from having to redo a rejected order.
Once the draft is approved (or confirmed), it must be signed by the family court judge and entered as part of your divorce proceedings.
Step 4: Submission and Follow-Up
A final, court-certified copy must be sent to the plan administrator. At PeacockQDROs, we handle this step, then closely monitor the processing timeline, provide updates, and answer any questions from the administrator to ensure the QDRO is accepted and benefits are properly divided.
Common Mistakes People Make with QDROs
We’ve seen many problems when QDROs are done by DIY services or general practice lawyers. Common errors include:
- Not distinguishing between Roth and traditional accounts
- Failing to address outstanding loans
- Using vague or outdated templates that don’t match the Ti Contribution and 401(k) Savings Plan’s language
- Not confirming the vesting status of employer contributions
You can avoid these issues by reviewing our list of common QDRO pitfalls.
How Long Does the QDRO Process Take?
Timelines vary depending on your state court, plan administrator responsiveness, and whether pre-approval is allowed. Generally, we can complete and fully process a QDRO in 60–120 days. Factors that may affect the timeline are outlined in our article: How Long Does It Take to Get a QDRO?
Why Choose PeacockQDROs
At PeacockQDROs, we’ve completed thousands of QDROs from start to finish. That means we don’t just draft the order and leave you to figure out the rest. We handle the drafting, preapproval (if applicable), court filing, submission, and follow-up with the plan administrator. That’s what sets us apart from firms that only prepare the document and hand it off to you.
We maintain near-perfect reviews and pride ourselves on a track record of doing things the right way. If you’re dividing a complex 401(k) like the Ti Contribution and 401(k) Savings Plan, choosing a specialist makes all the difference. View our full-service process at PeacockQDROs.
Final Thoughts
When it comes to dividing retirement accounts in divorce, not all plans are created equal—and neither are all QDROs. The Ti Contribution and 401(k) Savings Plan presents several challenges specific to 401(k)s, such as loan balances, vesting, and handling of Roth accounts. Working with a QDRO specialist like PeacockQDROs ensures every angle is addressed and your divorce settlement is enforced accurately and efficiently.
If your divorce was in California, New York, New Jersey, Connecticut, Kansas, Missouri, Iowa, or North Dakota, and you have questions about qualified domestic relations orders or dividing retirement assets like the Ti Contribution and 401(k) Savings Plan, contact PeacockQDROs. We specialize in QDROs and have successfully processed thousands of orders from start to finish.
Get the answers you need—explore our QDRO resources or reach out for personalized help if you’re in one of our service states.