JAY21 Posted October 2, 2012 Posted October 2, 2012 Is it even an option at this point to still use the 30-year GATT Rates as the 417(e) rates in the plan document instead of the newer RPA segment rates ? Thanks.
Andy the Actuary Posted October 2, 2012 Posted October 2, 2012 The Plan can use whatever it wants for the lump sum rates -- even the 30 year Gatt rates, so long as the PPA basis is used to determine a minimum lump sum. The material provided and the opinions expressed in this post are for general informational purposes only and should not be used or relied upon as the basis for any action or inaction. You should obtain appropriate tax, legal, or other professional advice.
masteff Posted October 2, 2012 Posted October 2, 2012 Two words: collectively bargained. The PPA 417(e) rate is for calc'ing a minimum lump sum, not a maximum. A plan could provide a "greater of" formula or an extended transition. Here's just one example: http://www.cwa6201.org/attbarg.cfm Edit: Opps, sorry for repeating part of Andy's post. I got sidetracked googling examples of plans still using GATT. Kurt Vonnegut: 'To be is to do'-Socrates 'To do is to be'-Jean-Paul Sartre 'Do be do be do'-Frank Sinatra
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