Qualified Domestic Relations Order (QDRO)
in Oregon Divorce Mediation:
Mediator Matthew M. House, J.D.
If you are dividing an employment-based retirement account, such as a 401(k), 403(b), or pension, you will need what is called a Qualified Domestic Relations Order (QDRO) after your divorce has become final. A QDRO is a written order for the judge to sign -- the same judge who signed your divorce judgment. After the judge signs the QDRO, you will submit it to the Plan Administrator. The Plan Administrator is the person or department in charge of, among other responsibilities, dividing retirement accounts according to the terms of divorce judgments.
A QDRO is, in essence, a document that confirms that the two of you had been married, are now divorced, and have agreed that some or all of the account of the employee spouse (usually called the "Participant") must be transferred into a separate account for the other spouse (called the "Alternate Payee").
The QDRO itself is not a part of mediation, but Matthew House will use a checklist or template from the Plan Administrator to include all of the required information in the Marital Settlement Agreement. Because the QDRO is created based on the stipulations of the divorce judgment, the same information must be in the MSA.
Frequently, you can prepare the QDRO at no cost by using an online QDRO preparation tool provided by the Plan Administrator. Sometimes, you will need to pay to have it prepared. Online QDRO preparation services usually charge $200 to $400.
A QDRO is not necessary for a traditional IRA or a Roth IRA. Other types of retirement accounts may or may not require a QDRO.
A QDRO is, in essence, a document that confirms that the two of you had been married, are now divorced, and have agreed that some or all of the account of the employee spouse (usually called the "Participant") must be transferred into a separate account for the other spouse (called the "Alternate Payee").
The QDRO itself is not a part of mediation, but Matthew House will use a checklist or template from the Plan Administrator to include all of the required information in the Marital Settlement Agreement. Because the QDRO is created based on the stipulations of the divorce judgment, the same information must be in the MSA.
Frequently, you can prepare the QDRO at no cost by using an online QDRO preparation tool provided by the Plan Administrator. Sometimes, you will need to pay to have it prepared. Online QDRO preparation services usually charge $200 to $400.
A QDRO is not necessary for a traditional IRA or a Roth IRA. Other types of retirement accounts may or may not require a QDRO.