Frequently Asked Questions

QDRO stands for Qualified Domestic Relations Order. It is a court order that allows a plan administrator to pay some or all of a retirement benefit to someone other than the individual who participates in the plan ("Participant"). Without a QDRO, the plan administrator may not recognize the right of a former spouse to receive a portion of the Participant's benefits.

A QILDRO is a Qualified Illinois Domestic Relations Order. A QILDRO is used to divide employee pension plans covered by the Illinois Pension Code. The Illinois Pension Code covers police officers; firefighters; public school and university teachers; municipal, county, state, park, and forest preserve employees; and others.

Most employer-sponsored retirement plans require a court order such as a QDRO in order to divide them. Without one, the plan administrator is prohibited by law from dividing the retirement plan. Other retirement benefits, including federal pension plans, state pension plans, military pension benefits, and railroad pension benefits do not require "QDROs" exactly, but do require other, similar orders. 

Yes; however, there are specific laws and rules that govern military pensions and what benefits are available to former spouses. Prior to entering a Judgment for Dissolution of Marriage (or other final divorce decree) dividing a military pension, you should consult with an attorney regarding benefits that may be available to you.

You should have your QDRO entered at the time of your divorce or as soon as possible thereafter. Retirement plan rules vary and, depending on those rules, you could lose some or all of your benefits if your former spouse retires, dies, is terminated from employment, or takes a loan or distribution from their retirement plan.

Your former spouse's attorney is looking out for the best interest of their own client, not you. A QDRO affects both parties. It is either providing you benefits or providing someone else a portion of your benefits. It is in your best interest to have an attorney review the QDRO on your behalf.

You can and you should! There is no time limit to enter a QDRO; however, if you wait to enter a QDRO, you can lose some or all of the benefits granted in your divorce.

That depends on the type of plan and the plan rules. Most defined contribution plans (e.g., 401(k), 403(b), and 457(b) plans) allow immediate access to the money. However, most define benefit plans (e.g., pensions) are paid in a monthly annuity and require the member to retire or reach minimum retirement age before the former spouse can start receiving their share of the benefit.

We strive to enter QDROs by agreement. If you have hired an attorney to enter the QDRO and it is being entered by agreement, you should not have to appear in court. Your attorney will appear and enter the QDRO on your behalf.

That depends on the type of benefit you were awarded. You should review your QDRO and contact the plan administrator if you believe you are entitled to additional benefits now that your former spouse is retiring.

Once your QDRO is entered and qualified by the Plan Administrator, they will contact you directly with instructions to follow for receiving your benefits. We recommend that our clients work with a certified financial planner to set up any necessary accounts to receive the funds you may be awarded under a QDRO.