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Valuation date

Guest jack06

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Need some help. Not sure how this works. In preparing my Qdro it ask. " the alternate payee's award is or is not entitled to earnings( dividens,interest,gain and losses) from the valuation date to the date the award is segregated from the participants account.

We seperated in 10/7/03 and were divorced in January 06. the court papers say that any and all moneys earned after date of seperation 10/7/03 belong to whom ever earned the money.

Our daughter got married in October 2004 and we withdrew about 20K from the plan to pay for her wedding. So the 401K savings plan would be less at the end of 2004.

So where do I go from here? I also started contributing to the plan again in 2005 but have since stopped.

Need help

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Guest Pensions in Paradise

You may want to consider hiring an attorney with QDRO expierence.

There is already one issue that jumps out at me. It appears the court order divides your account as of the date of separation (10/7/2003). Then you say "we" withdrew about 20K around October 2004. Technically speaking, the "we" should be changed to "I". Because from the court's perspective YOU withdrew the 20K and that will be deducted solely from your portion of the account.

That's because it appears that as of 10/7/2003 your account should have been divided between you and your ex-spouse. Any withdrawals you made after 10/7/2003 would be deducted from your portion.

You should hire an attorney sooner than later. Good luck.

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Pensions in Paradise is correct. Under the divorce decree you go back in time, divide the account, and the later withdrawal will charged to your portion of the former account. However, subject to state law, you and your former spouse can agree to share the withdrawal by adjusting the accounts or changing the award. A fair adjustment and how to express the result will take some thought and understanding of the plan. The QDRO should instruct the plan how to divide the account in a way that gives effect to the adjustment and the QDRO will supersede the divorce decree. The plan need not even see the divorce decree.

Pensions in Paradise is also correct that you should get competent legal advice.

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