QDRO stands for "Qualified Domestic Relations Order."

A QDRO is a special kind of court order which is used to divide pension rights between divorcing spouses, or to collect alimony or child support from an employee benefit plan. Because QDRO's are complex legal documents and your future fiinancial security is at stake, they should be drafted only by a qualified and experienced attorney.

What types of pension plans are subject to QDRO's?

All types. Private (corporate) pension and benefit plans such as 401(k), 403(b), 457, defined benefit monthly payment, TIAA/CREF, etc., may be divided by a QDRO under a Federal law called "ERISA." Military retired pay, Federal and State government civil service plans, and IRA's may be divided by similar orders known as Qualifying Court Orders (for military retired pay under the Uniformed Services Former Spouses Protection Act, or USFSPA), Court Orders Acceptable for Processing (for Federal civil service plans), and Transfers Incident to a Divorce (for IRA's). Our firm prepares all types of these orders: QDRO's for corporate (ERISA) plans, QCO's for military retired pay, COAP's and RBCO's for Federal and State civil service plans, and TID's for IRA's.

How do QDRO's work?

The State divorce court first enters an order dividing a pension. This State court order may be entered after a contested hearing, or by mutual agreement of the parties. The order may be approved by the pension plan as a draft to save you court costs and attorneys' fees, but your rights are not protected and you will not receive anything under the State court order until and unless the final order has been signed by a judge and accepted by the plan.

Why should I get a QDRO now? Why can't I wait until my former spouse retires or until I need the money?

If you delay in obtaining a QDRO, you may lose valuable rights and run the risk of forfeiting all of the benefits which were awarded to you in your divorce. Your rights may be lost if your former spouse does any of the following before your QDRO is submitted to the pension plan:

- retires
- becomes disabled
- remarries
- dies
- quits or is fired
- withdraws funds from the plan before retirement
- takes our a loan from the plan