Notice Requirements - QJSA Value or Table?

[Erik Read]

Okay - my search is getting frustrating. I'm looking for a link to the Q&A's - specfically #36, which discusses the Notice to Participants upon term when QJSA is a distribution option.

Specifically - is the notice required to calculate the QJSA payments or only required to provide the participant in simple language (HA) the formula and anuity tables used to calculate the benefit from their lump sum amount?

Any help would be greatly appreciated.

Thanks

[Dave Baker]

Are you speaking of these regs?

http://www.benefitslink.com/taxregs/1.411a-11.shtml

[Erik Read]

Yes - but within those - there is a reference to Q&A 36 under 1.401(a)-11

From Qualified Pension and Profit-Sharing Plans 2nd Edition - Pamela Perdue - 2.04[7][h] 2-59 -

"participants must be provided with a general description of the eligibility conditions and other material features of the optional forms of benefit and sufficient additional information to explain the relative values of the optional forms avaiable under the plan"

The footnote for the above paragraph references Q&A 36.

Do we have a link to the Q&A's?

[david rigby]

I don't think there are any regs numbered 1.401(a)(11), either proposed or final.

I find QJSA regs under 1.401(a)-11, issued 01/04/1977, amended 9/28/1977 and 8/19/1988. These regs are not in Q&A format. The 417 regs are also not in Q&A format. Both can be accessed here http://www.access.gpo.gov/nara/cfr/cfrhtml...26cfrv5_00.html

[Erik Read]

Sorry PAX - thanks your right it's 401(a) -11 if edited the original to show that.

I've been to the link you referenced.

Let me be very specific - I need to know if the calcualted amount of the annuity payment is requried to be on the distribution notice, or if providing the lump sum, and instructions on calculating the annuity payment is sufficient.

Thanks.

[david rigby]

Both 1.401(a)-11©(3) and 1.417(e)-1(B)(2) imply that general explanations are required, but not necessarily exact dollar amounts.

The latter has a cross-reference to 1.401-20 Q&A 36, which in turn refers to the first cite above.

[Erik Read]

Thank you - there is the Q&A link that I needed.

Thanks all - mod - you can close this thread now.