Government Guidance On Qualified Domestic Relations Orders: U.S. DOL Issues Interim Regulations, PBGC Updates Its Handbook

The Department of Labor’s (DOL) Employee Benefits Security Administration (EBSA) issued interim final regulations that clarify the status of domestic relations orders affecting qualified retirement plan benefits under the Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code (the Code). The regulations were issued pursuant to a directive contained in the Pension Protection Act of 2006 (PPA).

Separately, the Pension Benefit Guaranty Corporation (PBGC) has updated its comprehensive booklet on how it administers qualified domestic relations orders in the context of terminated plans for which the PBGC pays benefits.

Together, these materials provide helpful information to plan administrators, service providers, participants and alternate payees who need to address compliance-related matters for these orders.