Mandatory Contributions

[rcline46]

Client has very old mandatory contribution accounts - tracing back to when the plan was a thrift plan. They would like to recharacterize the accounts as voluntary accounts to make the distribution options of voluntary accounts apply.

It seems that eons ago as mandatory accounts fell out of favor we amended plans to treat those accounts a voluntary accounts. Today, it seems no one remembers this happening.

Does anyone know of any prohibition from doing this? Note that this is not and was not ever a Money Purchase plan, nor were the accounts from a defined benefit plan.

Thanks in advance for any thoughts.