Client got a letter from the SSA...on an old plan

[doombuggy]

The 401(k) PSP that we administer for this dentist was created on 10/1/2000. REcently one of his former employees got a letter from the SSA stating that he/she had a benefit. Apparently, the client had a plan in the past that began in 1983.

I can't help him, but I wanted to steer him in some kind of direction. Yes, he should be looking for his old plan's records but is there somewhere he can turn for help is he needs it? Will the DOL help him try to recover info on this old plan to verify if this person was actually paid out and not due a benefit of $600?

[david rigby]

Will the DOL help him try to recover info on this old plan to verify if this person was actually paid out and not due a benefit of $600?

Will the DOL have any such information? Not likely. Confirmation of a(ny) benefit paid is usually done via plan records.

[mbozek]

doombuggy

This is why plans must keep records of distributions forever. The employee has a presumed right to payment because he has a notice from SSA stating he has a deferred benefit due. The plan has to come with a cancelled check or other proof that payment was made.

[K2retire]

Of course, many accountants will tell clients that they don't need to keep anything longer than 6 or 7 years....