QDRO Checklist

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You must check “yes” to all of these questions in order for the domestic relations order to be a QDRO.

Is the participant’s name, current address and Social Security number on the order?

Address and SSN can be submitted in a separate, accompanying document due to the sensitivity of the information; therefore, you may answer “Yes” to this question.

Is the alternate payee’s name, current address and Social Security number on the order?

Address and SSN can be submitted in a separate, accompanying document due to the sensitivity of the information; therefore, you may answer “Yes” to this question.

Does the order identify the actual name of the plan (not the name of the Master Plan — the ABA Retirement Funds Program) to which the order relates?

The QDRO will need to be amended to reflect the actual plan name.

Does the order indicate the amount or percentage to be paid to the alternate payee from the participant’s benefits and the definitely determinable date (also referred to as the “date of determination” or “valuation date’)?

If an amount or percentage is not specified, the QDRO will need to be amended. Neither your firm nor the Program would be able to calculate the award based on a formula rather than a specific amount or percentage. If no “date of determination” or “valuation date” is specified, then the QDRO is for a single lump sum award, not subject to a prior valuation date.

Does the order indicate the number of payments, the time period for payments or the total amount to be paid to the alternate payee?

If an amount is not specified, the QDRO will need to be amended. Neither your firm nor the Program would be able to calculate the award based on a formula rather than a specific amount or percentage.

If another QDRO exists for this participant, will payments to the alternate payee under the latest order neither conflict with the previous QDRO nor cause the plan to pay benefits in excess of 100% of the participant’s benefit? (If another QDRO does not exist for this participant, check “yes.”)

The QDRO may need to be amended if a conflict would exist between the prior QDRO and this QDRO.

Would the type of benefit or form of payment required by the order normally be payable under the plan (regardless of the participant’s employment status)?

The QDRO may need to be amended if the intention is for the alternate payee to be able to withdraw or roll over the award.

Is the form of payment required by the order a form other than a qualified joint and survivor annuity with the alternate payee’s spouse as the surviving beneficiary?

The QDRO may need to be amended if your plan does not allow for QJSAs (profit sharing and 401(k) plans do not allow for that).

Is the order signed by an authorized official, such as a magistrate or judge?

The QDRO must be executed by the court.

If the order requires payments to be made to an alternate payee before the participant’s employment ends, does the order state that the alternate payee can request payments to start immediately? (If the order does not require payments to be made to an alternate payee before the participant’s employment ends, check “yes.”)

The QDRO may need to be amended if the intention is for the alternate payee to be able to withdraw or roll over the award immediately. Otherwise, the alternate payee’s distribution rights are the same as the participant’s.

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FAQs

See this section of the online Guide for all of the information you’ll need to assist the participant with having funds transferred to an ex-spouse.
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