ESOP

Client’s ex works for a firm with a top-notch ESOP plan. Major contributions are made each year. However, during the year preceding the divorce (2023), a statement shows absolutely no contributions to the ESOP, as well as the beginning value (1/1) identical to the 12/31 value. Can an employee request that no contributions be made and how do we get the valuation of the shares when the company is a private company?



ESOPs are qualified plans and must treat all employees equally with respect to contributions. The divorce attorney should know how to obtain account values needed for a settlement.



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