A qualified domestic relations order (QDRO) (pronounced quad-row or cue-dro) is a judgment, decree, or order for a retirement plan to pay child support, alimony or marital property rights to a spouse, former spouse, child, or other dependent of a participant. The QDRO is often included in a divorce decree or marriage settlement agreement (MSA) and must contain certain specific information, such as:

• the participant and each alternate payee’s name and last known mailing address, and

• the amount or percentage of the participant's benefits to be paid to each alternate payee.

A QDRO may not award an amount or form of benefit that is not available under the plan.

A spouse or former spouse who receives QDRO benefits from a retirement plan reports the payments received as if he or she were a plan participant. The spouse or former spouse is allocated a share of the participant's cost (investment in the contract) equal to the cost times a fraction. The numerator of the fraction is the present value of the benefits payable to the spouse or former spouse. The denominator is the present value of all benefits payable to the participant.

A QDRO distribution that is paid to a child or other dependent is taxed to the plan participant.
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.

In Utah, a Qualified Domestic Relations Order (QDRO) is a legal instrument that is typically part of a divorce decree or marriage settlement agreement. It allows for the division of a retirement plan's benefits to pay for obligations such as child support, alimony, or marital property rights to a spouse, former spouse, child, or other dependent. The QDRO must include specific information like the names and addresses of the participant and alternate payee(s), and the amount or percentage of benefits to be paid. It cannot grant benefits not already provided by the retirement plan. Tax implications vary depending on the recipient; a spouse or former spouse is taxed as if they were a plan participant, while payments to a child or dependent are taxed to the plan participant. The recipient of a QDRO, if a spouse or former spouse, may be able to roll over the distribution into another qualified retirement plan tax-free, similar to the participant's own distribution rollover options.