Dividing Employee and Employer Contributions
Employee contributions are always 100% vested and must be included in the QDRO division. However, employer contributions—such as matching or profit-sharing funds—often come with a vesting schedule. Only the vested portion is subject to division. The unvested portion typically reverts to the plan if the employee leaves or is not fully vested at the time of divorce.
We work with divorcing spouses to determine the precise dollar amount—or percentage—to be transferred to the alternate payee as of a specific “valuation date.” That date could be the date of separation, filing, marriage dissolution, or the court’s discretion based on state law.

