Be Wary Of QDRO Services That Sound Too Good To Be True

QDRO MILLS: Be Afraid, Very Afraid

Do an internet search for “QDRO services” and you will find clickbait promising “quick and easy” QDRO preparation for as little as $299.

Don’t fall for it.

Qualified domestic relations orders are not necessarily complex documents, but one size does not fit all, especially when the orders cross state lines.

For most families, retirement is, by far, the single most valuable asset. Why trust that asset to an online form which might not provide you with all the benefits which the law provides?

Many QDRO mills utilize the plan administrator’s forms and provide no attorney supervision over the QDROs they prepare.

Why is this a problem? Because the plan administrator’s intent in preparing the form is to simplify the processing of the QDRO not to ensure that the retirement is divided as the parties or the courts intend.

What is the significance of the valuation date?

How are gains and losses treated?

What happens to outstanding loans?

Are survivorship interests addressed?

Who pays the taxes?

These are just some of the issues that arise in the division of retirement plans. If the QDRO does not address these issues explicitly, the plan will answer them by default.

Don’t trust your most valuable asset to the vagaries of a one-size-fits-all domestic relations order. Call Las Vegas QDRO today (702) 263-8438 for a free consultation.

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