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403(b) Plan-to-Plan Transfer Rules

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Employer A is a very large 501©(3) and maintains a 403(b) plan for all of its affiliates. Affiliate P has participated in A's 403(b) for a number of years. Last fall, P's executive director complained about A's arrangement with provider M and wanted to have a 403(b) with Provider N instead, so it set up its own 403(b) with Provider N. Now, P wants to have amounts contributed on behalf of its employees while participating under A's 403(b) plan transferred in a plan to plan transfer to P's 403(b) plan with Provider N.

Are the plan-to-plan transfer provisions in the 403(b) regulations participant-initiated, employer-initiated or can they be either or both? It is not at all clear from the text of the regulations. I know that in the qualified plan context, the employer can arrange for a plan merger or spinoff without even informing the participants or seeking their consent. Is there an analogous concept in the world of 403(b) plans?

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