Benefit statements for deferred vested

[Guest msheather]

We are trying to determine by what date we as the Plan Administrator are required to provide benefit statements to our separated, deferred vested employees in our Defined Benefit Plans. We have located information indicating the deadline date for furnishing the individual statement is on or before the date by which Schedule SSA is filed with the Secretary of Treasury. We usually ask for a 5500 extension and file our 5500s in October. Our initial interpretation is that if we have a plan participant separate employment at any time between January 1, 2002 and December 31, 2002, we have until October 31, 2003 to provide the participant a statement of benefit. Is this a correct interpretation?

[david rigby]

This might help.

http://www.benefitslink.com/boards/index.p...ST&f=67&t=18524

[AndyH]

This is Code Section 6057(e):

"(e) Individual statement to participant

Each plan administrator required to file a registration statement

under subsection (a) shall, before the expiration of the time prescribed

for the filing of such registration statement, also furnish to each

participant described in subsection (a)(2)© an individual statement

setting forth the information with respect to such participant required

to be contained in such registration statement. Such statement shall

also include a notice to the participant of any benefits which are

forfeitable if the participant dies before a certain date."

Clearly this is the SSA due date of the following 5500 filing date. The subsection (a) referenced takes the form of Schedule SSA.

Note, however, that you have the separate obligation to provide a statement of the participant's accrued benefit following a written request, under some other section of ERISA that escapes me at the moment. As I recall you have 30 days but can request an extension of another 60 days.

So it would seem that you have until the next year's 5500 due date unless the participant sends a written request, then you have 30 days (subject to extension).