Guest Diane DuFresne Posted April 11, 2001 Share Posted April 11, 2001 When can the value of terminated participant account balances be considered for the $5,000 automatic payout rules? With the severe decline in the market, I am sure that some terminated participants balances have now fallen below $5,000. Can the determination of balances occur quarterly? daily? Any thoughts would be appreciated. Diane Link to comment Share on other sites More sharing options...
Guest JimD Posted April 11, 2001 Share Posted April 11, 2001 The determination of the value is determined at the time of the distribution. Link to comment Share on other sites More sharing options...
Guest James Osterhaus Posted April 11, 2001 Share Posted April 11, 2001 I would think that the determination date would be what ever the valuation schedule is. For example, for an unallocated account where the TPA produces a valuation every quarter, the determination date would be quarterly. For an allocated account, where dailey valuations are done, the determination date would be dailey. Link to comment Share on other sites More sharing options...
RCK Posted April 11, 2001 Share Posted April 11, 2001 If you have a daily valued plan and have adopted the most favorable provisions under GUST, then you can sweep every day to see whose accounts are under $5,000 and can be forced out. Of course, if they don't respond and their account bounces back over $5,000 then you can't force them out. Link to comment Share on other sites More sharing options...
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