30Rock Posted February 3, 2011 Report Share Posted February 3, 2011 I have a plan to plan transfer question. EIther an employer based transfer or a participant elected transfer, as permitted under the final 403bn regs. I understand, I think, the rules regarding a custodial account funded plan transfer, in that you have to restrict the employer contributions upon transfer so no in service are allowed prior to age 59 1/2. But what happens when an ERISA plan funded with an annuity contract under 403(b)(1) is transfered to a plan funded with 403(b)(7) custodial accounts and the annuity has more liberal in service w/d's of employer contributions - i.e. age 40 and the 5 year/2 year distributions? Do they have to be preserved, or can the funds fold into the custodial account and become subject to these more restrictive withdrawal rules? WHat about a vesting schedule - assume more generous vesting must be grandfathered? Thanks! Link to comment Share on other sites More sharing options...
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!Register a new account
Already have an account? Sign in here.Sign In Now