Quarterly Statements - Investment Limitations

[zimbo]

We have a 401K Plan with participant investment direction that is valued quarterly using "balance forward" calculation methodology. A bit old fashioned, but there are still some of these left.

Would you agree that we need to add to the quarterly statement by describing the "investment limitations" i.e., that they can only change their investment allocations once per quarter and that any such change will be effective as of the first day of the following quarter? Or do you think I am reading too much into this PPA requirement?

[J Simmons]

I think you'll need to add a description of those limitations to the quarterly statements (and possibly individual vesting information, the plan's integration formula if applicable, the diversification-necessary-to-long-term-retirement-security statement and DoL weblink, if these items are not already in quarterly statements to be provided).