Frequently Asked Questions About QDROs

For Individuals:

What Is A QDRO?

A qualified domestic relations order (QDRO) is a special kind of court order that divides pension or retirement plans, and allocates tax responsibilities for those divisions, in a divorce. If you have to divide a pension plan between yourself and your spouse, you will need a QDRO to receive your money, in either the short or long term.

What Kinds Of Retirement Plans Are Subject To QDROs?

Pretty much every retirement plan is subject to a QDRO or some equivalent. This includes all private retirement plans, including 401(k)s and pension plans, TIAA/CREF plans, military retirement plans, public retirement plans, railroad retirement plans and individual retirement plans (IRAs)

For Attorneys:

Why Should I Prepare A QDRO Before Or Concurrent With A Divorce Case?

By working proactively with our attorneys and QDRO specialists to get the right language and requirements prior to drafting and submitting a settlement agreement or attending a hearing, you can include the specifics of how a retirement plan will be divided in the divorce decree. This means when we draft the QDRO for you, your client is fully protected and will receive the benefits he or she is anticipating.

What Can Happen If I Do Not Prepare My Client's QDRO Along With His Or Her Case?

If the specifics of the division of the retirement plan are not clearly laid out, your client may end up receiving less than he or she anticipated, or having to pay unexpected penalties, fees or taxes. This can lead to accusations of malpractice and possibly even result in your client filing a lawsuit against you.

What Is QDRO Preparations, LLC?

We are a sister company to an extremely successful and respected family law firm based in Birmingham, Alabama. Our lawyers and QDRO specialists have extensive experience and training in the preparation and drafting of QDROs and similar retirement plan division vehicles. We help attorneys and individuals with their retirement division needs.

What Does QDRO Preparations Do For Me And My Client?

Our lawyers and QDRO specialists have extensive training in the preparation and proper drafting of QDROs for a variety of different plan types. We obtain the information about your client's plan from the plan administrator, so you can anticipate the information necessary to include in the settlement agreement. We also review the sample QDRO from the plan administrator and make alterations to ensure your client benefits from the QDRO instead of the plan administrator.

To learn more about our services, please call us at 205-704-2701 or contact us online to talk with us about your clients' needs.