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Lump sum rec'd but not the entire account balance


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Guest Iwonder
Posted

Such worries!

Participant received a lump sum pursuant to a termination and as provided in the Plan. Problem: participant did not receive a lump sum of the entire amount.

Suggestions?

Guest latwz
Posted

Is this a Plan termiantion? If so, sometimes there is an initial distribution followed by a smaller distribution after fees, etc.

If not, they chould comtact the PA.

Posted

Let me ask the dumb question.

Were they 100% vested?

Posted

In other words,

1. They might not have been eligible to receive the entire balance amount because they might not have been fully vested and therefore only entitled to a portion of the account balance.

2. Taxes or something else might have been withheld.

3. It could have been a partial distribution with more to follow. Was there any accompanying explanation?

George D. Burns

Cost Reduction Strategies

Burns and Associates, Inc

www.costreductionstrategies.com(under construction)

www.employeebenefitsstrategies.com(under construction)

Guest DFerrare
Posted

Maybe it was sent to the person in the other Message who got too much.

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