retroactive QDRO

[Guest MonicaM]

Employee took lump sum benefit (including savings plan, pension and enhanced severence package) in 2002 (age 54) and rolled entire benefit over into 2 IRAs. employment from 1966 -2002 (36 years) and married in 1977. Divorce was filed in 2010. The IRAs have been used as income since 2008 (age 59 1/2).

the Employee is claiming 11/36 of the original payout as non-marital (years worked prior to marriage). The alternate payee is claiming that the lump sum was converted to IRAs in 2002 and are no longer a qualifying plan. If the coverture fraction was to be applied, it is used to determine the alternate payees portion (25/36). In order to claim any portion as non-marital the former employee would have the burden of showing the amounts of funds in both the pension and the savings plan.

Comments? Has anyone ever seen or had any knowledge of a "reverse" retroactive QDRO enforced?

[QDROphile]

You appear to be asking a state law question about division of proprtery in a divorce. There appears to be no qualifed plan with any assets to be divided by a QDRO. There appears to be an IRA and you allude to other amounts at issue that are not IRA assets. Division of IRA benefits does not involve qualified domestic relations orders, but IRA assets may be awarded by court order. The trail leads back to what the state court is willing to order. QDRO law has nothing to do with the question. If you have any hope for a useful response, you might identify the state or at least confirm that community propery law applies, or not.

[Guest MonicaM]

You appear to be asking a state law question about division of proprtery in a divorce. There appears to be no qualifed plan with any assets to be divided by a QDRO. There appears to be an IRA and you allude to other amounts at issue that are not IRA assets. Division of IRA benefits does not involve qualified domestic relations orders, but IRA assets may be awarded by court order. The trail leads back to what the state court is willing to order. QDRO law has nothing to do with the question. If you have any hope for a useful response, you might identify the state or at least confirm that community propery law applies, or not.

[Guest MonicaM]

You appear to be asking a state law question about division of proprtery in a divorce. There appears to be no qualifed plan with any assets to be divided by a QDRO. There appears to be an IRA and you allude to other amounts at issue that are not IRA assets. Division of IRA benefits does not involve qualified domestic relations orders, but IRA assets may be awarded by court order. The trail leads back to what the state court is willing to order. QDRO law has nothing to do with the question. If you have any hope for a useful response, you might identify the state or at least confirm that community propery law applies, or not.

[Guest MonicaM]

You appear to be asking a state law question about division of proprtery in a divorce. There appears to be no qualifed plan with any assets to be divided by a QDRO. There appears to be an IRA and you allude to other amounts at issue that are not IRA assets. Division of IRA benefits does not involve qualified domestic relations orders, but IRA assets may be awarded by court order. The trail leads back to what the state court is willing to order. QDRO law has nothing to do with the question. If you have any hope for a useful response, you might identify the state or at least confirm that community propery law applies, or not.

[mbozek]

Do you still have a Q? If so just hit the add reply icon and enter your Q. As noted once benefits are paid into an IRA it is up to a state court to divide up the amount due the ex spouse in accordance with the marital property laws of the state. The amount can be transferred tax free to the ex spouse without the need for a QDRO.