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Is church plan required to use GATT Rate as minimum for lump sums


Guest IRISH79
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.... subject to the terms of the plan itself.

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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Guest Danny Miller
Can a church plan pay lump sum based on its actuarial assumptions and not use GATT Rate as a minimum?

Church plans are also not subject to the anti-cutback rule in Code section 411(d) which also relates to your question. But, pax is right: if the terms of the plan call for the GATT rate to be used, then failure to use that rate could result in a contract claim by disadvantaged participants that their "contract" with the employer (the terms of the retirement plan) had been breached. That failure would also be a failure to follow the terms of the plan document.

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