A Qualified Domestic Relations Order (“QDRO”) is what is used in order to disburse certain retirement funds to the other spouse. Once there is a settlement between the parties and it is determined what retirement accounts there are and how they will be divided, an outside company is hired to value the retirement plans of the parties and to determine the other spouses value in such retirement plans.
This company will draft the QDRO and explain to the retirement plan how to disburse the funds. This is helpful because there are certain retirement plans, like a pension, that do not have an exact value at the dates needed so a company has to value the plan at the stated dates in order to determine the exact value owed to the other spouse.
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