1.409A-3(d) and Installments. Insights?

[ERISAatty]

I'm reviewing a 409A-subject plan under which the payment trigger is a fixed (calender) date.

The payments that will begin on the fixed date are in the form of monthly installments for a certain number of years.

I am confused by the interplay of § 1.409A-3(d) and § 1.409A-2(b)(2)(iii).

Under 1.409A-3(d), a payment is treated as made upon a fixed date if the payment is made upon such date, or if later, then by the 15th day of the third calendar month following the day specified under the Plan.

Under § 1.409A-2(b)(2)(iii), installment payments are treated as a single payment (unless a plan otherwise specifies). (This plan is silent on the topic, so the installments are a 'single payment.')

Does the fact that the installments are deemed to be a single payment satisfy the 'fixed date' payment timing requirements of § 1.409A-3(d)?

Or, since the installments don't end until a later year (five years later), does this design fail to satisfy the 'fixed payment' requirements?

Thoughts?

[Draper55]

I'm reviewing a 409A-subject plan under which the payment trigger is a fixed (calender) date.

The payments that will begin on the fixed date are in the form of monthly installments for a certain number of years.

I am confused by the interplay of § 1.409A-3(d) and § 1.409A-2(b)(2)(iii).

Under 1.409A-3(d), a payment is treated as made upon a fixed date if the payment is made upon such date, or if later, then by the 15th day of the third calendar month following the day specified under the Plan.

Under § 1.409A-2(b)(2)(iii), installment payments are treated as a single payment (unless a plan otherwise specifies). (This plan is silent on the topic, so the installments are a 'single payment.')

Does the fact that the installments are deemed to be a single payment satisfy the 'fixed date' payment timing requirements of § 1.409A-3(d)?

Or, since the installments don't end until a later year (five years later), does this design fail to satisfy the 'fixed payment' requirements?

Thoughts?

It depends on what the plan says..an installment series can be treated as a single payment or the indivdual payments can be treated as single payments. this will have significance if

it is desired later to change the date of one of the payments.