Dividing the Dallas Summer Musicals Employees 401(k) Retirement Plan in Divorce
Dividing retirement assets during a divorce can be one of the most complex and emotionally charged parts of the process—especially when it comes to 401(k) plans. If you or your spouse is a participant in the Dallas Summer Musicals Employees 401(k) Retirement Plan, you’ll need a Qualified Domestic Relations Order (QDRO) to divide the account properly under federal law. In this article, we’re walking through what that means specifically for this plan, sponsored by The dallas summer musicals, Inc., and outlining key considerations we’ve encountered in thousands of QDROs handled by PeacockQDROs.
What is a QDRO and Why Do You Need One?
A QDRO is a legal order following a divorce or legal separation that instructs a retirement plan administrator to divide a retirement account. Without it, a spouse cannot legally claim their share of a 401(k) plan—even if the divorce decree says they’re entitled to it.
For the Dallas Summer Musicals Employees 401(k) Retirement Plan, the plan administrator will not allow any division or payment to a spouse or ex-spouse (known as the “alternate payee”) unless there is a valid QDRO in place. This legal order must meet specific format and content guidelines outlined under federal law and the plan’s own administrative procedures.
Plan-Specific Details for the Dallas Summer Musicals Employees 401(k) Retirement Plan
- Plan Name: Dallas Summer Musicals Employees 401(k) Retirement Plan
- Sponsor: The dallas summer musicals, Inc.
- Address: 20250602155019NAL0017553968001, 2024-01-01
- EIN: Unknown
- Plan Number: Unknown
- Industry: General Business
- Organization Type: Corporation
- Plan Status: Active
Even without all the participant-level data available, we know this is a traditional corporate 401(k) plan, which comes with a few common issues that need careful handling in divorce situations.
Key QDRO Considerations for 401(k) Plans Like This One
1. Dividing Contributions: Employee vs. Employer
With any 401(k) plan, you’re looking at two basic contribution types: those made by the employee and those made by the employer. The QDRO must clearly specify whether the division includes just employee contributions or also employer contributions. The Dallas Summer Musicals Employees 401(k) Retirement Plan is likely to include both, so clarity matters.
We typically advise clients that employer contributions may be subject to vesting—meaning they might not all be available for division depending on how long the participant has worked for The dallas summer musicals, Inc.
2. Vesting Schedules and Forfeitures
Many 401(k) plans follow a vesting schedule for employer contributions (e.g., 0% in year one, 20% in year two, etc.). If your QDRO doesn’t account for this, it can mistakenly award money that the participant never actually owns. It’s critical to request the vesting schedule from the plan administrator and make sure the QDRO reflects only the vested portion of the employer’s match or none at all, depending on the case strategy.
3. Loan Balances Within the 401(k)
If the participant has taken out a loan against their 401(k) with The dallas summer musicals, Inc., that balance needs to be discussed. QDROs can be written in a few ways:
- Divide the net balance, excluding the loan
- Divide the gross balance, including the loan, and allocate loan repayment to the participant
- Treat the loan amount as part of the participant’s award
Each option has pros and cons, and the best choice depends on your specific agreement and financial situation. A poorly drafted QDRO can result in overpayment or underpayment to the alternate payee if the loan isn’t addressed correctly.
4. Roth vs. Traditional 401(k) Accounts
Another frequent issue with 401(k) QDROs is correctly allocating Roth vs. traditional contributions. Roth contributions are post-tax, which makes them fundamentally different from pre-tax traditional contributions from a tax perspective. If the Dallas Summer Musicals Employees 401(k) Retirement Plan includes both account types—and many modern plans do—you’ll need the QDRO to specifically list how each will be divided.
For example, some plans will not process a QDRO unless you split traditional and Roth portions proportionally or specify one type only. Getting this wrong can result in unforeseen tax consequences later.
Common Mistakes to Avoid With This Plan
We’ve seen a number of recurring mistakes in QDROs involving corporate 401(k) plans like this one, documented in our guide to common QDRO mistakes. The most frequent issues include:
- Failing to account for vesting
- Overlooking 401(k) loan balances
- Mixing up Roth and traditional account funds
- Leaving out required plan identifiers like plan numbers and EINs (even if currently unknown, these will be required later)
Each mistake can delay the QDRO—or worse, cost one party their rightful share of retirement funds.
Documentation You’ll Need
Even though the specific Plan Number and EIN for the Dallas Summer Musicals Employees 401(k) Retirement Plan are unknown, these are required for QDRO submission. You or your attorney will need to contact The dallas summer musicals, Inc.’s HR department or plan administrator to obtain them. You’ll also need:
- The Summary Plan Description (SPD)
- Vesting schedule
- Loan repayment terms (if any)
- Breakdown of account types (Roth vs. traditional)
Getting this documentation early will make drafting and submitting your QDRO far smoother.
How PeacockQDROs Can Help
At PeacockQDROs, we’ve completed thousands of QDROs from start to finish. That means we don’t just draft the order and leave you to figure out the rest. We handle the drafting, preapproval (if applicable), court filing, submission, and follow-up with the plan administrator. That’s what sets us apart from firms that only prepare the document and hand it off to you.
We maintain near-perfect reviews and pride ourselves on a track record of doing things the right way. Whether you’re concerned about vesting, loan balances, Roth contributions, or missing plan data—these are daily issues for us. Our team knows how to resolve them quickly, correctly, and with minimal stress on your end.
If you’re just starting your QDRO process, check out our other helpful articles:
And if you’re stuck or unsure what documents to request from The dallas summer musicals, Inc., reach out to us. We’re happy to help.
Final Thoughts
Dividing the Dallas Summer Musicals Employees 401(k) Retirement Plan in divorce isn’t just a paperwork issue—it’s a financial transition that must reflect both accuracy and fairness. Whether you’re the participant or the alternate payee, a properly drafted QDRO is essential to protecting your share of this retirement benefit.
With details like vesting schedules, account types, and plans for loan repayment hanging in the balance, experience matters. Let a QDRO professional handle it the right way from the start.
If your divorce was in California, New York, New Jersey, Connecticut, Kansas, Missouri, Iowa, or North Dakota, and you have questions about qualified domestic relations orders or dividing retirement assets like the Dallas Summer Musicals Employees 401(k) Retirement Plan, contact PeacockQDROs. We specialize in QDROs and have successfully processed thousands of orders from start to finish.
Get the answers you need—explore our QDRO resources or reach out for personalized help if you’re in one of our service states.