Monzón, Guerra & Associates, Attorneys at Law

Call for Free Initial Consultation
Consultations are Confidential

402-477-8188
contact Menu

When you need a QDRO

Fight Your DUI Charges. Contact Us Today At (402) 909-0026.

If you are facing an impending divorce in Nebraska, you no doubt have many questions about how this major life event may impact you financially. For many people the emotional side of letting go of many special belongings is made worse when the reality of the financial losses starts to set in. However, it is important for you to learn about the ways in which you may be able to preserve some of your savings.

If you and your spouse are going to divide your 401K account, care should be taken in this process lest you be left paying unnecessary penalties and taxes as well as handing over some of your hard-earned savings. As explained by the United States Department of Labor, a qualified domestic relations order will allow you to name your to-be former spouse as an alternate payee on your 401K account. This means money can be paid directly to them leaving any tax responsibility to them and not to you. 

The use of a QDRO also eliminates the assessment of any early withdrawal penalties on you as you are clearly not taking an early distribution that fails to meet retirement qualification, which is when these penalties are assessed. If your spouse chooses to reinvest the money into other retirement funds, they may also avoid the taxes at that time. 

If you would like to learn more about how a qualified domestic relations order might help you, please feel free to visit the retirement and property division page of our Nebraska family law and divorce website.

No Comments

Leave a comment
Comment Information
Email Us For a Response

Contact Monzón, Guerra & Associates Attorneys At Law

We Will Go The Extra Mile In Order To Achieve Your Goals & Exceed Your Expectations

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Monzón, Guerra & Associates, Attorneys at Law
1133 H Street
Lincoln, NE 68508

Phone: 402-477-8188
Fax: 402-477-8202
Map & Directions