New Rollovers under EGTRRA

[Guest ami]

An existing 403(B) plan currently only offers lump sum as the form of distribution under the plan. Under egtrra, portability rules have been expanded. The plan administrator has posed the question whether or not rollvers from a former employer's money purchase plan are permitted now under egtrra. Good faith plan amendments aside, is this permissible? Even though the 403(B) plan does not offer the QJSA feature?

Thanks!

[MGB]

In order to have a rollover, the spouse has already consented to a lump sum distribution and waives the J&S. The receiving plan or IRA does not need to have a J&S feature.

So, yes, they can receive rollovers from money purchase plans.