Introduction
If you or your spouse participated in the Moody’s Co-worker Owned, Inc.. 401(k) Plan through your employment at Moody’s Co.-worker owned, Inc.. dba moody’s collision centers, a divorce raises important questions about dividing those retirement benefits. Retirement accounts like 401(k) plans are considered marital property in many states, and the division of this plan requires a legal tool called a Qualified Domestic Relations Order—or QDRO.
This article will walk you through the process and issues you’re most likely to encounter when dividing the Moody’s Co-worker Owned, Inc.. 401(k) Plan in divorce. We’ll cover everything from vesting schedules to Roth vs. traditional account distinctions, and give you practical advice to avoid costly mistakes.
What Is a QDRO, and Why Do You Need One?
A Qualified Domestic Relations Order (QDRO) is a court order required to divide a qualified retirement plan like a 401(k) as part of divorce proceedings. Without a QDRO, the plan administrator cannot legally recognize a spouse’s or former spouse’s right to a portion of the employee’s retirement benefits.
The QDRO tells the plan administrator how to divide the account—what portion goes to each party, how to handle taxes, and what to do with any outstanding loans or unvested employer contributions.
Plan-Specific Details for the Moody’s Co-worker Owned, Inc.. 401(k) Plan
- Plan Name: Moody’s Co-worker Owned, Inc.. 401(k) Plan
- Sponsor: Moody’s Co.-worker owned, Inc.. dba moody’s collision centers
- Plan Address: 200 NARRAGANSETT STREET
- Plan Type: 401(k)
- Industry: General Business
- Organization Type: Corporation
- Plan Status: Active
- Effective Date: Unknown
- Plan Year: Unknown to Unknown
- Plan Number and EIN: Required documentation; must be obtained from the plan sponsor during QDRO processing
Since this is a 401(k) plan for a general business in corporate form, it typically includes both employee deferrals and employer contributions. These can be split in a QDRO, but only to the extent the amounts are vested and eligible for division.
Key Issues When Dividing the Moody’s Co-worker Owned, Inc.. 401(k) Plan
Vesting Schedules and Forfeitures
One of the most overlooked issues in 401(k) QDROs is the employer contribution vesting schedule. While employees are always 100% vested in their salary deferrals, employer contributions often vest over several years. If your spouse received employer contributions that are not yet vested at the time of divorce, the unvested portion may revert back to the company and not be available for division.
A good QDRO will account for this possibility by specifying whether the alternate payee is entitled only to the vested balance or to any future vesting as well. This should be clearly negotiated during settlement discussions.
401(k) Loans
If the participant spouse has taken out a loan from their Moody’s Co-worker Owned, Inc.. 401(k) Plan, that outstanding balance can affect what’s available to divide. The loan balance stays with the participant and is factored into the current account value. Most QDROs do not divide the loan responsibility but instead carve it out so the non-employee spouse receives a share of the net account value.
It’s critical to clarify whether the QDRO is applied before or after deducting the loan balance to avoid shortchanging the alternate payee.
Roth vs. Traditional Accounts
The Moody’s Co-worker Owned, Inc.. 401(k) Plan may include Roth and traditional account buckets. These are taxed differently when distributed. Roth accounts are funded with after-tax dollars and grow tax-free, while traditional accounts are taxed upon distribution.
Your QDRO should specify whether the division includes both types of accounts and how to allocate them. If your share includes Roth assets, make sure the rollover is handled correctly to preserve tax treatment.
Contribution Type Identification
Many 401(k) plans classify funds into different sources: employee deferrals, employer match, profit sharing, and rollover contributions. Each of these may be vested at different rates and subject to different restrictions. Be sure your QDRO explicitly identifies what types of funds are being divided—and only includes amounts that are eligible to be shared.
Drafting QDROs for Corporations Like Moody’s Co.-worker owned, Inc.. dba moody’s collision centers
Corporations in the general business sector often work with third-party administrators (TPAs) to manage their 401(k) accounts. This means extra scrutiny is necessary to ensure the draft QDRO fits the plan’s rules. TPAs may have pre-approval procedures, but many do not. It’s critical to check with the administrator before submitting the order to court.
At PeacockQDROs, we contact plan administrators directly, confirm the QDRO process, and secure pre-approval when available. Our clients don’t get stuck with rejected orders and long waits. We handle everything—from drafting to follow-up—so you don’t have to figure it out alone.
What the QDRO Should Include for This Plan
- A clear division formula (percentage or dollar amount)
- Language addressing Roth vs. traditional accounts
- Clarification of how loans and unvested funds are handled
- The participant’s full name and identifying information
- The alternate payee’s information (usually the non-employee spouse)
- The Plan Name exactly as: Moody’s Co-worker Owned, Inc.. 401(k) Plan
- The plan sponsor’s exact name: Moody’s Co.-worker owned, Inc.. dba moody’s collision centers
- A reference to the plan number and EIN (you’ll need to request these from the plan administrator)
Common Mistakes to Avoid
Too many people make costly QDRO mistakes, like:
- Failing to include Roth account distinctions
- Assuming all the employer’s contributions are eligible for division
- Not accounting for outstanding loan balances
- Submitting the order to court before it’s been pre-approved
Check out our full list of common QDRO mistakes so you don’t repeat them during your case.
How Long Does It Take to Finalize a QDRO?
The total time depends on several factors like how cooperative both parties are, whether the plan has pre-approval, and how busy the courts are in your county. On average, it takes a few months. Read more about QDRO timing here.
Why Choose 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.
Need help? Start here: QDRO Services
Conclusion
If you or your spouse has a 401(k) with Moody’s Co.-worker owned, Inc.. dba moody’s collision centers, you’ll need a carefully worded QDRO to divide the Moody’s Co-worker Owned, Inc.. 401(k) Plan. Don’t leave this important part of your financial future to chance. Mistakes here can cost you thousands or delay your access to funds.
We make sure it’s done right—start to finish.
Have Questions? We Can Help
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 Moody’s Co-worker Owned, 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.