Qualified Domestic Relations Orders and PBGC

When a couple divorces or separates, or one member seeks child or spousal support from the other, a court or state agency may divide a person's pension benefit or order payments from it by issuing a domestic relations order (DRO). When the DRO relates to a pension plan trusteed by PBGC, PBGC must review it to make sure it is in line with ERISA, the federal pension law, as well as PBGC policies. If it is, PBGC qualifies the DRO, and it becomes a qualified domestic relations order, or QDROA domestic relations order that meets certain requirements, as determined by the plan or PBGC. This “qualification” gives an alternate payee the right to receive some or all of the benefits payable under a plan.. PBGC will pay benefits as the directs.

Qualified Domestic Relations Orders & PBGC (Órdenes Calificadas de Relaciones Domésticas y PBGC en español) contains the information you or your attorney need to prepare a QDROA domestic relations order that meets certain requirements, as determined by the plan or PBGC. This “qualification” gives an alternate payee the right to receive some or all of the benefits payable under a plan. - including:

Models, Procedures and Checklist

• PBGC Model Separate Interest QDRO
• PBGC Model Shared Payment QDRO
• PBGC Model Child Support Shared Payment QDRO
• PBGC Model Treat-As-Spouse QDRO
• PBGC Model QDRO Instructions
• QDRO Procedures and Checklist
• Appendices on:
  • Defined Benefit Pension Plans and PBGC Benefit Rules — Appendix A
  • Domestic Relations Orders Qualified Before PBGC Becomes Trustee — Appendix B
  • QDRO Tax Rules — Appendix C 
  • Language for Including a Contingent Alternate Payee — Appendix F  
  • How to Obtain Certain Participant Information from PBGC — Appendix G