Employee vs. Employer Contributions
Most 401(k) plans include contributions from both the employee and the employer. In divorce, the alternate payee is generally awarded a portion of the total account based on a formula like “50% of the marital portion of the account.” That marital portion typically includes:
- Employee contributions and earnings during the marriage
- Employer contributions vested during the marriage
However, unvested employer contributions can raise issues. If your QDRO doesn’t address them specifically, you risk over- or under-allocating funds depending on how the vesting schedule plays out.

