Qualified Domestic Relations Orders
Protecting Your Retirement Benefit Rights
It may be necessary to divide a portion of a retirement account between spouses in a divorce, dissolution, or legal separation. This is commonly accomplished with a Qualified Domestic Relations Order (QDRO). A QDRO is an order signed by the court and approved by a plan administrator of the retirement account that enables a former couple to transfer funds from the retirement account of one party into an account established on behalf of the other party. The party receiving funds in that transfer can then do with them whatever the plan participant could do. The party receiving the funds may also roll the funds over into another account.
At Jorgensen, Brownell & Pepin, P.C., our seasoned family law lawyers serve clients throughout Longmont, Loveland, Broomfield, and the surrounding areas of Colorado. We fight aggressively to protect the rights and interests of our clients and for positive resolutions that protect their benefits.
Taking a Closer Look at QDROs
QDROs are "qualified" in the sense that they meet the requirements of the Employee Retirement Income Security Act of 1974 (also known as "ERISA") and of Section 414(p) of the Internal Revenue Code. The money transferred from a retirement account with a properly drafted and processed QDRO is not subject to the 10% early withdrawal federal income tax penalty - even if you and your former spouse are both younger than age 59 ½. QDROs enable the transfer of such funds without taxes or penalties.
For More Information, Contact Jorgensen, Brownell & Pepin, P.C. Today.
If you have questions regarding the drafting of a QDRO, or about property division or divorce, dissolution of marriage, or legal separation in general, please call (720) 809-8310 to set a consultation appointment to discuss your case with one of our family law attorneys. Our skilled Colorado family lawyers at Jorgensen, Brownell & Pepin, P.C. can assist you with the entire process in Colorado.Have questions? Do not hesitate to contact our office for reliable legal counsel about QDROs.