Pension RC Posted September 8, 2014 Posted September 8, 2014 I just was asked by one of our defined benefit plan sponsors for the amount of a lump sum that was paid in 1987. I am unsure if our firm even administered the plan back then, and we certainly don't have information pertaining to the lump sum. Does anyone have any suggestions of how I might go about researching this? Thanks!
Andy the Actuary Posted September 8, 2014 Posted September 8, 2014 Okay, so the Plan Sponsor has nada. If the records exist, the easiest way may be to look at the trust statement, if there was such an animal, and anyone remembers who the custodian was at that time. If only one lump sum was paid and no other benefits, then the 5500 or 5500-R might show it. The Plan Sponsor may have had his accountant prepare a 1099-R. Hey, it was only 27 years ago! 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.
Lou S. Posted September 8, 2014 Posted September 8, 2014 Does anyone have any suggestions of how I might go about researching this? Thanks! On time and expense?
Effen Posted September 9, 2014 Posted September 9, 2014 Why would they possibly want this? 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.
Andy the Actuary Posted September 9, 2014 Posted September 9, 2014 Guess is that participant is claiming a benefit now. 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.
Lou S. Posted September 9, 2014 Posted September 9, 2014 Most likely the participant was reported on an SSA back in the 80s and is now receiving a letter from SSA that they they may have benefits in this plan because they just applied for SSA benefits. We've found that even some participants who were properly removed from the SSA when paid out still get the letter from SSA.
david rigby Posted September 9, 2014 Posted September 9, 2014 If your firm (TPA?) was not involved in 1987, there is (probably) nothing you can do (i.e., don't lose sleep over this). Either way, you might suggest that the sponsor check in the personnel file of the former employee, if such file can be located. (Don't assume it no longer exists.) No guarantee, but it might be worth a look. I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
Pension RC Posted September 11, 2014 Author Posted September 11, 2014 Thanks for your all your responses. Our TPA firm wasn't involved in 1987, but I will share your suggestions with the plan sponsor.
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