Employee and Employer Contributions
401(k) plans typically include contributions made by the employee and, in some cases, by the employer. It’s important to understand:
- Which portion came from employee salary deferrals (fully vested)
- What part came from employer matching or profit-sharing (may be subject to vesting)
- Whether employer contributions are partially or fully vested at the time of divorce
Only the vested portion of the employer contributions can usually be divided under a QDRO. If some of the account isn’t vested, it may be forfeited if the employee terminates employment.

