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Not to be confused with a divorce decree or property settlement, a qualified domestic relations order (QDRO) specifically recognizes an ex-spouse's, or soon-to-be-ex-spouse's, interest in the other spouse's qualified retirement plan.
The drafted QDRO is submitted to the retirement plan administrator, and once it's accepted and approved by the administrator, it's submitted to the court. Since divorces can be complex, particularly if a couple has many assets, a lawyer may be a good option to help ensure a smooth transfer of assets.
A QDRO is a judgment, decree or order for a retirement plan to pay child support, alimony or marital property rights to a spouse, former spouse, child or other dependent of a participant.
If you get divorced, a court order called a Domestic Relations Order (DRO) may award your ex up to 50% of your WRS retirement account. Because a DRO divides your entire account, it must also divide any credit that you will receive for military service that you served before 1974.
A QDRO is defined by the IRS as ?a judgment, decree, or order for a retirement plan to pay child support, alimony, or marital property rights to a spouse, former spouse, child or other dependent of a participant.? If the assets in your divorce include certain types of retirement accounts, such as a pension or a 401(k), ...
Wisconsin is considered a community property state. This means all marital property and assets will be divided 50/50 in the event of a divorce, legal separation, or annulment. Property gifted to an individual spouse or property inherited by each person may be excluded from the 50/50 division.