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Transfer of economic value

A concept in divorce agreements: instead of dividing outstanding NQDC distributions between the employee spouse and the nonemployee spouse in the divorce property agreement, the value is determined while some other assets (e.g. cash, real estate, stock investments) are transferred. This approach is used when splitting the distributions is prohibited by the NQDC plan or would raise other complications. For more on the treatment of NQDC in divorce, see the related article.