Employer and Employee Contributions
The Hoff’s Kitchen Co.., Inc.. Retirement Plan is a 401(k)—a defined contribution plan. That means the balance consists of both employee deferrals and, in many cases, employer matching or profit-sharing contributions. When structuring a QDRO, you can divide either a percentage of the account as of a specific date (typically the divorce judgment date), or a flat dollar amount.
It’s also important to determine how employer contributions are treated. If the employer made contributions that aren’t fully vested, the non-vested portion may be forfeited later if the employee leaves the company. As such, QDROs often include language that excludes or accounts for any non-vested balances to avoid confusion or over-awarding the alternate payee.

