Introduction
Dividing retirement plan benefits during a divorce can be confusing and legally complex. If you or your spouse has an account in the Gershman Investment Corp.. Employees Savings Trust, you’ll likely need a Qualified Domestic Relations Order (QDRO) to divide that account properly. QDROs are legal orders that direct a retirement plan administrator to split the benefits in a way that complies with federal law and the plan’s own rules. At PeacockQDROs, we’ve handled thousands of these orders, including many for 401(k) plans like this one, and we’re here to make sure it’s done the right way from beginning to end.
Plan-Specific Details for the Gershman Investment Corp.. Employees Savings Trust
Before you can draft a QDRO that the plan administrator will accept, it’s important to understand key facts about the plan:
- Plan Name: Gershman Investment Corp.. Employees Savings Trust
- Plan Sponsor: Gershman investment Corp.. employees savings trust
- Address: 16253 SWINGLEY RIDGE RD. STE. 200
- Plan Type: 401(k) Plan
- Industry: General Business
- Organization Type: Business Entity
- Effective Date: Unknown
- Status: Active
- Assets: Unknown
- Plan Number: Unknown (required for QDRO completion; often found in plan documents or SPD)
- Employer Identification Number (EIN): Unknown (also required but can be acquired through plan documents)
While some details like plan number and EIN aren’t publicly available, these will be necessary when completing a QDRO. A qualified attorney experienced with retirement orders can help locate this information or coordinate with the plan administrator.
Why the Gershman Investment Corp.. Employees Savings Trust Requires a QDRO
Like all ERISA-governed 401(k) plans, the Gershman Investment Corp.. Employees Savings Trust will not divide an account in divorce without an approved QDRO. A divorce decree alone is not sufficient. The QDRO serves as the legal instruction that tells the plan administrator how to split the account – how much the alternate payee (usually the non-employee spouse) will receive, when they’re eligible to receive it, and in what form.
Common Mistakes When Dividing 401(k) Plans
Most people assume that splitting the account is as easy as assigning a 50/50 division. But with 401(k) plans like the Gershman Investment Corp.. Employees Savings Trust, things get complicated quickly:
- Unvested employer contributions may not be available for division
- Loan balances can reduce the value available to divide
- Roth vs. Traditional balances must be accounted for correctly
- Plan doesn’t allow early distributions, or they come with hefty tax penalties
These issues must be clearly addressed up front in your QDRO to avoid delays, rejections, or unforeseen financial outcomes.
Employee and Employer Contributions
What’s Divisible?
Both the employee’s own contributions and vested employer contributions can be divided by a QDRO. If the account has employer-matching funds or profit-sharing totals, these may have a vesting schedule. Contributions that are unvested on the date of divorce are typically not divisible unless the employee remains employed and those funds vest later — a fact that can be included in the QDRO language.
What to Watch Out For
Ask the plan administrator for a vesting statement to ensure you know what portion of the account is truly eligible for division. Otherwise, you may end up assigning funds that don’t legally belong to the participant yet, which results in delays or rejections.
Dealing with 401(k) Loan Balances
The Gershman Investment Corp.. Employees Savings Trust may allow participants to take loans from their accounts. If there’s a loan outstanding at the time of division, it affects the value of the participant’s account. That loan amount reduces what can be divided. You’ll need to decide:
- Will the loan be excluded from the divisible account value?
- Will the participant solely repay it?
- Will the alternate payee take on part of the loan balance?
Your QDRO should clarify who bears the burden of repayment or if that loan balance is to be disregarded.
Roth vs. Traditional 401(k) Accounts
Some plans, including the Gershman Investment Corp.. Employees Savings Trust, may contain both traditional pre-tax contributions and Roth post-tax accounts. These must be handled separately in a QDRO.
It’s not enough to simply write that each spouse gets “50%.” If there are both Roth and traditional balances — with different tax implications — your QDRO should show the split for each type of account.
Important Tax Considerations
- Withdrawals from traditional 401(k) funds are taxable at ordinary income rates
- Roth 401(k) distributions may be tax-free, but only if certain criteria are met
An incorrect division — including tax-deferred and after-tax accounts in the same split — might unintentionally trigger avoidable tax liability for one party. This is where an experienced QDRO attorney provides real value.
Timing and Process Specific to Business Entity Plans
Since the Gershman Investment Corp.. Employees Savings Trust is associated with a Business Entity in the General Business sector, it’s common for the plan to be administered by a third-party provider. These types of plans often do not have their own QDRO forms or procedures available online, which means additional follow-up is required to ensure compliance.
Here’s How PeacockQDROs Gets It Done
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 the plan allows it), court filing, submission to the plan, and follow-up with the administrator. That’s what sets us apart from firms that only give you a piece of paper and expect you to figure out the rest.
We maintain near-perfect reviews and pride ourselves on a track record of doing things the right way.
For more on what you need to consider, check out:
What Happens After the QDRO is Submitted?
After the court signs the QDRO, the final draft must be sent to the plan administrator. If the Gershman Investment Corp.. Employees Savings Trust uses a third-party administrator (like Fidelity or Principal), there may be a review period during which the plan checks the order’s compliance.
If something is missing — like the plan number or date of divorce — they can reject it. That’s why attention to detail is critical.
Get Help With Your QDRO Today
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 Gershman Investment Corp.. Employees Savings Trust, 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.