Introduction
If you or your spouse has been participating in the Better Built Truss 401(k) Plan through Better built truss, LLC, and you’re currently going through a divorce, you’re likely wondering how retirement assets are split. The answer? You’ll need a Qualified Domestic Relations Order—commonly called a QDRO.
401(k) plans like the Better Built Truss 401(k) Plan can be especially tricky in divorce because they often involve multiple account types (Roth and traditional), employer matches with vesting schedules, and even outstanding loan balances. In this article, we’ll break down what you specifically need to know when dividing the Better Built Truss 401(k) Plan in a divorce.
Plan-Specific Details for the Better Built Truss 401(k) Plan
When preparing a QDRO, it’s important to identify the plan with accurate details. Here’s what we know so far about the Better Built Truss 401(k) Plan:
- Plan Name: Better Built Truss 401(k) Plan
- Sponsor: Better built truss, LLC
- Address: 20250116180350NAL0039013984001, 2024-01-01
- Employer Identification Number (EIN): Unknown
- Plan Number: Unknown
- Industry: General Business
- Organization Type: Business Entity
- Participants: Unknown
- Plan Year: Unknown to Unknown
- Status: Active
- Total Assets: Unknown
While some details like the EIN or plan number are currently unknown, these are required to process a QDRO. You’ll typically find this information in the plan’s Summary Plan Description (SPD), a participant’s annual statement, or by contacting the plan administrator. At PeacockQDROs, we help collect and verify this information so you don’t have to go it alone.
Why a QDRO Is Required for the Better Built Truss 401(k) Plan
Federal law, specifically ERISA and the Internal Revenue Code, requires a QDRO to divide most employer-sponsored retirement plans, including 401(k)s. Without a QDRO, the plan administrator is not legally allowed to distribute any portion of the account to an ex-spouse, no matter what your divorce judgment states.
The Better Built Truss 401(k) Plan will only pay benefits to an alternate payee (the non-employee spouse) if a court has issued a QDRO that the plan administrator accepts. That’s where we come in.
Key Challenges When Dividing a 401(k) Plan Like the Better Built Truss 401(k) Plan
1. Employer Contributions & Vesting
Not all of the retirement funds in a 401(k) are immediately available to divide. Employer contributions—such as matching funds—usually have a vesting schedule. This means an employee only becomes “fully entitled” to those amounts after a certain period of employment.
In a divorce, only vested amounts are eligible for division under a QDRO. Knowing what is fully vested—and what’s not—at the time of division is critical to making sure the order is accurate. If you’re the alternate payee, it’s important you don’t assume you’re entitled to amounts that are still unvested and potentially forfeitable.
2. Loan Balances and Offsets
401(k) plans often allow loans. But what happens if your spouse took out a loan against the Better Built Truss 401(k) Plan? Whether you’re the plan participant or the alternate payee, that loan balance matters when you’re dividing the account.
If a loan exists, the QDRO must clearly state whether the division is calculated before or after subtracting that loan balance. If not addressed correctly, one party could end up receiving less—or more—than intended. Our firm always reviews loan activity as part of our QDRO process to ensure fairness in division.
3. Roth vs. Traditional Balances
Many 401(k) plans today include both traditional (pretax) and Roth (after-tax) contributions. The plan administrator for the Better Built Truss 401(k) Plan should keep these separate when reporting account balances. However, your QDRO needs to respect this split or the tax consequences could be significant.
If the QDRO sends Roth amounts to a non-Roth 401(k) account, the IRS may view it as a distribution—and tax it accordingly. At PeacockQDROs, we always ensure the QDRO directs the traditional and Roth balances appropriately, so both parties avoid unnecessary taxes.
How the QDRO Process Works with the Better Built Truss 401(k) Plan
A QDRO must comply with federal law and the specific rules and requirements of the Better Built Truss 401(k) Plan. Here’s how the process generally works when working with our team:
- Step 1: Gathering Information – We collect the plan name, sponsor details, statements, and participant information. If the plan number or EIN is missing, we help locate it through administrative channels.
- Step 2: Drafting the QDRO – We prepare the document to reflect exactly how benefits should be divided (percentage vs. dollar amount, valuation date, treatment of loans and taxes).
- Step 3: Preapproval (if applicable) – Some plans offer preapproval of QDROs before entering it with the court. We file for preapproval if available to avoid costly revisions later.
- Step 4: Court Filing – We help you file the QDRO with the proper court once it’s ready to be finalized.
- Step 5: Plan Submission – Once signed and filed, we send the QDRO to the Better Built Truss 401(k) Plan administrator and follow up until implementation.
You can read more about how long the QDRO process takes by checking out our guide here: 5 Factors That Determine QDRO Timeframes.
Common Mistakes to Avoid in Dividing the Better Built Truss 401(k) Plan
At PeacockQDROs, we’ve seen thousands of retirement orders—so we know what can go wrong. Avoid these costly mistakes specific to 401(k) plans:
- Assuming unvested funds are automatically included
- Failing to mention outstanding loans in the QDRO
- Not separating Roth and traditional account balances
- Using the wrong valuation date
- Drafting a QDRO without knowing the plan’s specific requirements
We address all of these issues upfront. Check our guide on Common QDRO Mistakes to help protect your share.
Why Work with PeacockQDROs?
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. If you’re dealing with the Better Built Truss 401(k) Plan, we can help ensure your division is correct and promptly processed.
Explore our full QDRO services here: QDRO Services.
Final Thoughts
Dividing retirement assets like the Better Built Truss 401(k) Plan through divorce doesn’t have to be overwhelming. With the right guidance and a properly drafted QDRO, you can protect your share and avoid unnecessary delays or tax consequences.
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 Better Built Truss 401(k) 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.