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    oobachopps's Avatar
    oobachopps Posts: 1, Reputation: 1
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    #1

    Apr 22, 2008, 08:48 AM
    401k and divorce
    I'm closing my 401k due to a divorce settlement. Will I still have to pay penalties in this situation?
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
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    #2

    Apr 22, 2008, 09:33 AM
    No - distributions from a 401(k) are exempt from the penalty if they are made to an alternate payee in response to a Qualified Domestic Relations Order (QRDO). Be careful to submit the correct paperwork - for example, you will have to submit the QRDO from the court to the 401(k) plan administrator. Here's a web site with some advice on how to do this properly:

    401(k) And Divorce
    SickofX's Avatar
    SickofX Posts: 1, Reputation: 1
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    #3

    May 15, 2008, 03:17 PM
    I am retiring and need to cash out my pension I have with the company. I owe my x-wife for back alimony, will my pension be taken from me to pay arrearage?
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