Mergers of MP and PS Plans...

[Guest RONNIE WASEL]

When executing a merger and transfer agreement between a Money Purchase an Profit Sharing Plan does this constitute a termination of the money purchase plan and thus should the employer sponsor request a determination letter on termination of the Money Purchase plan?

Thank you in advance,

Ronnie Wasel

[jaemmons]

No this does not constitute a technical termination of the MPPP. If benefits after the merger are the same as prior (i.e.-account balances, distribution options, NRA, early retirement options, etc.) there is no need to submit a 5310-A for the merger.