Employee and Employer Contributions
Typically, the participant’s own contributions are fully vested and fully divisible. Employer contributions, however, may be subject to a vesting schedule. If your spouse earned matching or discretionary employer contributions, the QDRO needs to break these down by vested and unvested amounts.
- If the employer contributions aren’t fully vested at the time of divorce, a portion may be forfeited after separation.
- A QDRO can specify a formula to include only the vested amount as of the “division date” (e.g., the date of separation or divorce decree).

