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Plan Sponsor has old TIAA individual contracts in 403(b) plan.  More than 90 of these contracts belong to terminated participants.  We (the TPA) would like TIAA to take some action to show that these contracts are distributed for 5500 purposes.  Has anyone had experience they could share with this issue?

Thanks!

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My recollection from about a decade ago is that many of TIAA's contracts have 10-year withdrawal provisions. This means that you cannot get your money any quicker than the time period in the extensive contract provides. We have seen that TIAA is not willing to negotiate any shorter W/D periods for small employers, but occasionally has done it for larger employers (anecdotally). [ Not to be cynical, but ever since my experience with their contracts, I always wondered what their tag line "For the greater good" really meant.]

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On 4/16/2018 at 10:14 AM, Patricia Neal Jensen said:

Thanks but withdrawal provisions are irrelevant.  The money does not have to come out of the contracts.  TIAA just has to distribute the contracts.  This is done all the time when a plan terminates.

Has the plan been terminated?  In other words, what circumstances exist that would require TIAA to show that the annuity contracts have been distributed?  Also, is there some ulterior motive for showing these particular annuity contracts as distributed?  

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