Introduction
Dividing retirement assets during divorce can be complicated—especially when you’re dealing with a 401(k) plan like the Onpoint Healthcare Solutions, Inc.. 401(k) Plan. To properly divide these benefits, you’ll need a Qualified Domestic Relations Order (QDRO). A QDRO allows a retirement plan to pay a portion of an employee’s benefits to a former spouse (commonly called the alternate payee) without triggering early withdrawal penalties or tax consequences to the participant.
But not all QDROs are the same, and getting it right for this particular plan means understanding the details of how 401(k) accounts work—and what this specific employer’s plan allows. As QDRO attorneys at PeacockQDROs, we’ve seen what can go wrong when these aren’t set up right, and we’re here to help you get it done correctly, from start to finish.
Plan-Specific Details for the Onpoint Healthcare Solutions, Inc.. 401(k) Plan
Before diving into your QDRO strategy, here’s what we know about the Onpoint Healthcare Solutions, Inc.. 401(k) Plan:
- Plan Name: Onpoint Healthcare Solutions, Inc.. 401(k) Plan
- Sponsor: Onpoint healthcare solutions, Inc.. 401(k) plan
- Plan Address: 20250718120735NAL0001738689001, 2024-01-01
- Employer Identification Number (EIN): Unknown (required during QDRO drafting)
- Plan Number: Unknown (required during QDRO drafting)
- Industry: General Business
- Plan Type: 401(k)
- Organization Type: Corporation
- Participants: Unknown
- Plan Year & Effective Date: Unknown
- Status: Active
- Assets: Unknown
Because this is an active 401(k) plan sponsored by a corporate business in the general industry sector, QDRO requirements must be tailored appropriately. Employees typically receive both employee-elected contributions and possibly employer matching contributions subject to a vesting schedule. All of this must be considered in the QDRO strategy.
What a QDRO Does for the Onpoint Healthcare Solutions, Inc.. 401(k) Plan
A QDRO enables the legal division of retirement benefits between divorcing spouses. For this specific plan, it allows:
- Direct payment of a portion of the participant’s 401(k) to the alternate payee
- Tax-deferred transfer of funds to an IRA (or taxation if taken as a cash distribution)
- Protection of the alternate payee’s share from early withdrawal penalties
401(k) plans—unlike pensions—do not offer monthly payments. They are defined contribution plans with account balances that fluctuate with the market. That means choosing between a percentage, specific dollar amount, or “marital portion” becomes very important in the QDRO.
Key Considerations in Dividing the Onpoint Healthcare Solutions, Inc.. 401(k) Plan
Employee vs. Employer Contributions
Employees contribute pre-tax (or Roth) funds directly to the 401(k), while employers may match a portion. Generally, employee contributions are fully vested immediately. But employer match amounts may be subject to a vesting schedule. If the marriage was shorter than the vesting schedule, only a portion—or none—of the employer contributions will be marital property.
In our QDROs, we address all of the following clearly:
- Define the marital period (usually from date of marriage to date of separation or divorce)
- Clarify whether both vested and non-vested funds are included
- Specify whether the alternate payee receives a flat amount or a percentage of marital contributions
Outstanding Loan Balances
Some participants may have borrowed against their 401(k). If there’s an outstanding loan, its treatment in the QDRO needs to be addressed. Courts and plan administrators vary—some treat the loan as reducing the divisible account value; others do not.
We help clients evaluate the loan issue and decide whether:
- The alternate payee’s share should be calculated before or after subtracting the loan balance
- Loan repayment responsibility should affect division
Traditional vs. Roth 401(k) Funds
The Onpoint Healthcare Solutions, Inc.. 401(k) Plan may offer both traditional (pre-tax) and Roth (after-tax) options. These are taxed differently, so they should not be combined or divided blindly. The QDRO must separate and label each account type, and ensure the alternate payee receives the correct tax treatment on distribution.
Unvested Employer Contributions
The plan may have specific rules about forfeiting unvested employer contributions upon separation or termination. If the participant is not yet fully vested, the alternate payee may be entitled to only a percentage of those funds—or none at all. That’s why reviewing the plan’s Summary Plan Description (SPD) is critical when drafting the QDRO.
Critical Elements to Include in a Valid QDRO for This Plan
Because plans have unique administrative requirements, it’s essential to ensure your QDRO for the Onpoint Healthcare Solutions, Inc.. 401(k) Plan includes at a minimum:
- The participant’s and alternate payee’s names, addresses, and Social Security numbers (can be submitted under seal)
- The exact plan name: Onpoint Healthcare Solutions, Inc.. 401(k) Plan
- Clear statement of the amount or percentage to be paid to the alternate payee
- Whether gains and losses will apply between the division date and distribution
- How to handle loans, Roth vs. traditional accounts, and unvested amounts, if applicable
If the plan requires preapproval (many do), we will submit the draft to the administrator before court filing. This can save time and avoid costly rework later.
Why QDRO Mistakes Can Be Costly
Incorrect or vague QDROs frequently result in rejection by the plan, delay in payment, or even permanent loss of benefits. At PeacockQDROs, we regularly see errors such as:
- Incorrect plan names or missing plan numbers
- Assuming full vesting of employer contributions
- Failing to separate Roth from pre-tax balances
- Failing to address loan adjustments
Before submitting your order, we recommend reviewing these common QDRO mistakes.
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—with your financial future in mind.
Learn more about our QDRO process and what to expect by visiting our QDRO services page or reviewing the 5 key factors that affect how long a QDRO takes.
Conclusion
Dividing the Onpoint Healthcare Solutions, Inc.. 401(k) Plan requires careful attention to the specifics: employer contributions, vesting, Roth vs. traditional funds, loans, and plan documentation. A well-prepared QDRO makes all the difference—and prevents you from leaving money (or benefits) on the table.
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 Onpoint Healthcare Solutions, Inc.. 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.