installment option

[k man]

the beneficiary wants monthly installments. the plan allows for monthly, quarterly or annual installments. generally speaking (because i know plan documents are different), can an employer make and administrative decision to limit the installments to annually?

[ERISAnut]

Only to the extent the plan actually yeilds to such administrative election. If the plan specifically states such form of payment is available, then you must follow the plan. Sometimes, a play may state that such provision will be based on an administrative election of the employer (where the administrative election effectively becomes an extention of the document). Nothing is arbitrary.

Hope this helps. Are you sure you are not a financial advisor?