Introduction
Dividing retirement assets during divorce can be one of the most complicated parts of the process—especially when one or both spouses have 401(k) plans. If you or your spouse are participants in the Myers & Sons, LLC 401(k) Plan, you’ll need a Qualified Domestic Relations Order (QDRO) to properly divide those retirement benefits. QDROs ensure that the division is legally recognized by both the court and the plan administrator, while also protecting tax-deferred status when benefits are transferred.
At PeacockQDROs, we’ve completed thousands of QDROs from beginning to end. From drafting and preapproval through final filing with the court and follow-up with the plan administrator, we take care of every step—unlike firms that just hand you a document and walk away.
Plan-Specific Details for the Myers & Sons, LLC 401(k) Plan
Before diving into division strategies, let’s take a closer look at the available details of the Myers & Sons, LLC 401(k) Plan:
- Plan Name: Myers & Sons, LLC 401(k) Plan
- Sponsor: Myers & sons construction, LLC
- Industry: General Business
- Organization Type: Business Entity
- Status: Active
Some essential details such as the EIN, plan number, total assets, participant count, and plan year dates are currently unknown. However, this information will be required for your QDRO. You or your attorney may need to request the plan’s summary plan description (SPD) or reach out to the plan administrator for complete documentation.
Why a QDRO Is Required for a 401(k) Plan
A QDRO is a court order that grants a spouse, former spouse, child, or other dependent the legal right to receive a portion of a participant’s retirement benefits. 401(k) plans, which are governed by federal law under ERISA, require a valid QDRO before the plan can legally divide benefits between spouses without triggering penalties or taxes.
Without a properly drafted and executed QDRO, the plan participant may face taxes and early withdrawal penalties, and the non-participant spouse could lose access to the benefits they’re entitled to.
Key QDRO Considerations for the Myers & Sons, LLC 401(k) Plan
The Myers & Sons, LLC 401(k) Plan may contain various complexities common to employer-sponsored retirement savings vehicles. Here are the major factors you should address in the QDRO drafting process:
1. Employee vs. Employer Contributions
This plan likely includes both employee deferrals and employer matching or profit-sharing contributions. In divorce, the QDRO can cover all or only certain types of contributions. It’s important to distinguish which portions of the account are marital property and subject to division. Be particularly mindful of the participant’s contributions prior to marriage, which may be considered separate property in many jurisdictions.
2. Vesting Schedules on Employer Contributions
Any employer match or profit-sharing contributions are typically subject to a vesting schedule. If the plan participant hasn’t met the full vesting requirements at the time of divorce, only the vested portion can be included in the QDRO division. The portion that’s unvested at the time of entry may be forfeited if the participant leaves the company before becoming fully vested.
This is why it’s vital for the QDRO to clearly indicate whether awards are limited to vested amounts or if the alternate payee should share in any future vesting. Not sure what’s vested? A recent benefit statement from the Myers & Sons, LLC 401(k) Plan—or a call to the administrator—can clarify this.
3. Loans Against the 401(k)
401(k) loans add another layer of complexity. If the participant has taken out a loan against the Myers & Sons, LLC 401(k) Plan, is that amount factored into the marital balance before division—or removed to reflect the true account value?
There are different strategies here. Some QDROs divide the account balance net of the loan (i.e., after subtracting the loan). Others still divide the full gross balance, meaning the alternate payee won’t share in the loan responsibility. Make sure the QDRO addresses this point directly to avoid inquiries and complications later.
4. Roth 401(k) vs. Traditional 401(k) Accounts
If the participant has both Roth and traditional account balances under the Myers & Sons, LLC 401(k) Plan, a QDRO must specify how each account type is divided. Roth funds are post-tax, while traditional 401(k) funds are pre-tax. If the alternate payee receives Roth funds, they won’t owe taxes on distribution (as long as IRS rules are met). Traditional funds, however, are taxed when withdrawn.
Missing this distinction can lead to surprise tax consequences down the line. Be sure your QDRO attorney knows how to handle mixed account types properly.
How the QDRO Process Works
Here’s a step-by-step outline of how the QDRO process should work when dividing the Myers & Sons, LLC 401(k) Plan:
- Step 1: Gather the necessary plan documents, including the SPD, plan summary, and account statements.
- Step 2: Draft a QDRO that complies with both ERISA guidelines and the terms of the specific plan managed by Myers & sons construction, LLC.
- Step 3: If required, submit the draft QDRO to the plan administrator for preapproval.
- Step 4: File the pre-approved QDRO with the court for official entry.
- Step 5: Send the signed, court-certified QDRO to the plan administrator for implementation and asset division.
Timing matters, too. Check out our article on five factors that determine how long it takes to get a QDRO done for more.
Common Mistakes to Avoid
Many people make avoidable mistakes when dealing with QDROs. A few common ones:
- Failing to specify whether the division is as of the date of separation, divorce, or some other date
- Not addressing investment gains/losses after the division date
- Leaving loan balances unaddressed
- Ignoring separate Roth/traditional balances
For a list of pitfalls to watch out for, check out our guide to common QDRO mistakes.
Why Choose PeacockQDROs
At PeacockQDROs, we’re not just document preparers. We handle every step of the QDRO process—from drafting and preapproval to court filing and plan follow-through. That’s what sets us apart. When you work with us, you’re tapping into decades of experience in dividing retirement assets correctly.
We maintain near-perfect reviews and pride ourselves on a track record of doing things the right way. If you’re dealing with a complex 401(k) plan like the Myers & Sons, LLC 401(k) Plan, getting it right the first time matters. See more about our services here: QDRO Services at PeacockQDROs.
Final Thoughts
QDROs involving plans like the Myers & Sons, LLC 401(k) Plan can be confusing, especially when there’s a vesting schedule, Roth contributions, or outstanding loans involved. Don’t leave asset division to chance. A poorly written QDRO can cost you thousands—or even your entire share of the retirement benefit.
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 Myers & Sons, LLC 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.