Definition
A Qualified Domestic Relations Order is a domestic relations order which creates or recognizes the existence of an alternate payee’s right to, or assigns to an alternate payee the right to, receive all or a portion of the benefits payable with respect to a participant under a qualified Plan (i.e. employer sponsored).
A domestic relations order is any judgment, decree, or order (including approval of a property settlement agreement) which (1) relates to the provision of child support, alimony payments, or marital property rights to a spouse, former spouse, child, or other dependent of a participant, and (2)is made pursuant to a State domestic relations law (including a community property law).
An Alternate Payee must meet the definition of alternate payee - any spouse, former spouse, child or other dependent of a participant who is recognized by a domestic relations order as having a right to receive all, or a portion of, the benefits payable under a plan with respect to such participant.
These Orders do not relate to Plans not covered by the Employee Retirement Income Security Act of 1974 (“ERISA”). Examples of retirement accounts NOT covered by ERISA include State and Municipal retirement plans, Federal Retirement Plans (CSRS, FERS & TSP), IRA's (SEP, SIMPLE and Keogh), and most Deferred Compensation plans.
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