When Should I Get a Qualified Domestic Relations Order?
When Should I Get a Qualified Domestic Relations Order? The emotional and financial trauma that comes with a divorce is difficult enough for a couple. During the divorce, it is relatively simple to divide tangible assets like homes or vehicles. However, the equitable division of a retirement plan or a pension plan is more difficult. While many individuals assume their divorce settlement agreement will fully protect their rights to the portion of their former spouse’s retirement fund that was contributed to during their marriage, this is not always the case. One way to ensure that your retirement funds are equitably distributed is through a Qualified Domestic Relations Order (QDRO). What is a Qualified Domestic Relations Order? A Qualified Domestic Relations Order is a court order that divides the benefits of a retirement plan between two former spouses and is then accepted by the administrator of the retirement plan. A QDRO generally contains specific directions for how a re...