(Qualified Domestic Relations Orders)
Pronounced “Quadro,” a QDRO, short for Qualified Domestic Relations Order, is an order transferring assets in a divorce. This is most useful in the division of retirement accounts, where the account can be divided without a payout and the associated taxes. By using a QDRO, the recipient can place assets into a retirement account such as an IRA (individual retirement account) by way of a roll-over. This is done in accordance with IRS Publication 575, and the IRS website clearly states:
An individual may be able to roll over tax-free all or part of a distribution from a qualified retirement plan that he or she received under a QDRO. If a person receiving QDRO payments is either the employee's spouse or former spouse (not as a nonspousal beneficiary), then he or she can roll it over, just as if he or she were the employee receiving a plan distribution and choosing to roll it over.
This allows for easy transfer of assets in a divorce without taxes or penalties or a reduction in the amount received. Our firm handles QDROs and the division of retirement on a regular basis.
To schedule a free phone or in-office consultation with one of our attorneys about dividing retirement using a QDRO, call 770-863-8355.
Our typical fee per QDRO is $750.00 for the attorneys’ fee, plus any applicable filing fees. This includes all work from the preparing of documents to getting the judge to sign off on the final paperwork.
1355 Terrell Mill Road
Marietta, Georgia 30067