Tioscrooge

Thank you for your response. Much appreciated. I realize that this is an unusual situation and from what I have gathered, strictly speaking, QDRO is not required for non-ERISA plans such as 457b, and no tax reporting is due.

Thank you for all the feedback and information. This is a funded non-governmental 457b, utilizing Rabbi Trust. The employer honored party's divorce settlement agreement for this transfer instead of a QDRO. The custodian [Schwab] indicated that a letter of instruction from the trustee was sufficient to make the transfer. None of the amount was current year contributions, and thus not reportable on W-2. Both party's accounts were solely prior year's contributions. Transfer between divorcing spouses is allowed per plan documents. The funds remain "at risk" for the employee and available to the employer to satisfy its debt per the provisions of the 457b plan. So, again, is there any IRS reporting of this transfer? Thank you experts!

Hello benefit experts! I have not encountered this before, and hence the question. Two spouses are participating in the same non-governmental 457b plan and have accounts at another company's 401k plan. They are getting divorced. As part of their divorce settlement, one spouse agreed to give over her entire 457b funds to the other spouse in exchange for the second spouse to transfer the same amount to her from his 401k account. The reason they did this was to avoid distribution to one spouse after relocation / termination. The custodian didn't need QDRO, just a letter from the trustee, for the transfer. The transfer is now complete. What, if any, IRS documentation or forms need to be filed for this transfer of 457b funds from one spouse to another? Thank you!!

Thank you Alex and ebplans. Yes, this will be a 457b plan for NFP organization. I intend to hire / pay for the services, just didn't know who to ask! Thank you for your suggestions.

Good afternoon. I am looking for some recommendations for vendors who can provide plan documents and other services for starting a 457b plan for a small charity where there will be less than 5 participants (probably just 2-3). Thank you,