Employee and Employer Contributions
In 401(k) plans, participants often contribute pre-tax earnings through payroll deferrals, and the employer may make matching or discretionary profit-sharing contributions. These contributions might not vest immediately. When dividing this plan, you’ll need to determine:
- What portion of the balance comes from employee deferrals (always 100% vested)
- What portion comes from employer contributions (which may be subject to a vesting schedule)
- Which contributions were made during the marriage (marital portion)

