Understanding QDROs and the Old Dominion 401(k) Retirement Plan
If you or your spouse participated in the Old Dominion 401(k) Retirement Plan through Old dominion freight line, Inc., and you’re now facing a divorce, it’s important to understand how Qualified Domestic Relations Orders (QDROs) work. A properly prepared QDRO is the only way to legally divide this retirement plan without triggering taxes and penalties. But 401(k) plans, like the Old Dominion 401(k) Retirement Plan, come with specific rules, especially when employer contributions, vesting schedules, and loan balances are involved.
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 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.
Plan-Specific Details for the Old Dominion 401(k) Retirement Plan
Before preparing a QDRO, it’s essential to gather all available plan information. Here’s what we know about the Old Dominion 401(k) Retirement Plan:
- Plan Name: Old Dominion 401(k) Retirement Plan
- Sponsor: Old dominion freight line, Inc.
- Address: 500 OLD DOMINION WAY
- Plan Year: Unknown to Unknown
- Plan Status: Active
- Effective Date: Unknown
- Type: 401(k), part of a General Business plan for a Corporation
- Plan Number: Unknown (must be obtained from plan administrator)
- EIN: Unknown (required for QDRO submission—will need to request this)
This information is a good starting point, but a complete QDRO requires contacting the plan administrator to gather missing details like the plan number, EIN, and the participant’s specific account data.
What a QDRO Does in Divorce
A QDRO allows a retirement plan—like the Old Dominion 401(k) Retirement Plan—to distribute a portion of one spouse’s retirement account to the other spouse, known as the “alternate payee.” Without a QDRO, these benefits cannot legally be divided without early withdrawal penalties or tax problems.
A qualified order ensures that the division complies with both the divorce decree and federal ERISA requirements, and that it’s enforceable by the plan administrator.
Dividing Employee vs. Employer Contributions
With 401(k) plans, a participant’s account usually contains:
- Employee contributions (what the worker personally saved)
- Employer matching contributions (what the company contributed)
During divorce, a QDRO can divide both types of contributions. However, employer contributions may be subject to a vesting schedule, meaning the participant might not be entitled to the full amount unless they have a certain number of years at the company. You should not assume 100% of the employer contributions are available for division.
At PeacockQDROs, we make sure we account for the vesting schedule and protect the alternate payee’s rights, whether you’re the spouse receiving the benefit or the one dividing it.
Vesting Schedules and How They Affect QDROs
If there’s a vesting schedule in the Old Dominion 401(k) Retirement Plan, this will affect the amount that can be awarded in a divorce. Here’s how:
- Only the vested portion of the employer contributions can be divided
- Non-vested portions will eventually be forfeited unless the participant stays employed long enough
This is especially critical if one spouse plans to receive a percentage of the total account. The QDRO must clearly define whether it applies to just the vested balance or includes any future vesting.
Dealing with Outstanding Loan Balances
If the participant has taken a loan from their Old Dominion 401(k) Retirement Plan account, that loan reduces the account value and may change how much can be divided.
In QDROs:
- Some orders exclude the loan from division, meaning only the net balance (excluding the loan) gets divided
- Others include the loan as part of the total, awarding the alternate payee a share of both the actual balance and the loan portion once repaid
This is a strategic decision. If you ignore the loan, the alternate payee may receive less. If you include it, the payee may need to wait years to be made whole. We help clients understand the trade-offs and make the best decision for their needs.
Roth vs. Traditional 401(k) Accounts
Many 401(k) plans, including potentially the Old Dominion 401(k) Retirement Plan, allow for both traditional (pre-tax) and Roth (after-tax) contributions. These must be handled differently in a QDRO:
- Traditional 401(k): Distributions are taxed in retirement
- Roth 401(k): Distributions are tax-free in retirement (assuming holding period rules are met)
In a divorce, it’s crucial that the QDRO specifies the tax type of the account being divided. Mixing them up can lead to unexpected tax consequences. We make sure to match the tax status with the correct payment provisions, so you avoid costly mistakes.
QDRO Process for the Old Dominion 401(k) Retirement Plan
Here’s a step-by-step breakdown of how we typically process QDROs for plans like the Old Dominion 401(k) Retirement Plan:
- Confirm participant’s employment, account balance, and plan documents with Old dominion freight line, Inc.
- Secure missing identifiers: plan number, EIN, SPD (summary plan description), and procedures
- Draft QDRO using plan-specific language and options (vesting, loans, Roth/traditionals)
- Submit draft to plan or third-party administrator for preapproval (if the plan allows it)
- Get final order signed by the court
- Submit approved QDRO to plan administrator
- Follow up until the plan finishes implementation
This process varies depending on how responsive the plan administrator is. Learn more about timeline factors here: how long QDROs take.
Avoiding Common QDRO Mistakes
QDROs can go wrong in many ways, especially when done by firms that don’t handle everything from start to finish. See some of the most frequent errors on our breakdown of common QDRO mistakes.
We’ve seen orders rejected because they referred to the wrong plan name or ignored crucial plan features like vesting schedules or Roth accounts. That’s why using a QDRO specialist matters.
Why Choose PeacockQDROs?
At PeacockQDROs, we handle the entire QDRO process from beginning to end—including communication with Old dominion freight line, Inc., tracking plan rules, drafting the correct documents, court filing, and persistence with follow-up. We maintain near-perfect reviews and pride ourselves on a track record of doing things the right way. We understand how 401(k)s actually work, and how to divide them properly as part of your divorce judgment.
If you’re starting the QDRO process or reviewing a pending division of the Old Dominion 401(k) Retirement Plan, let us help. You can get in touch through our contact form, or explore our detailed QDRO guidance for more.
Final Thoughts
401(k) plans like the Old Dominion 401(k) Retirement Plan are valuable assets during a divorce—but mishandling their division can cost you thousands of dollars. Whether you’re receiving part of the retirement or giving it up, it’s important the QDRO is done correctly, fully implements the court order, and complies with ERISA rules.
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 Old Dominion 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.