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Plan Termination Payout Question

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We have a Plan that terminated in '23.  There have been some residuals that came in that we are going to allocate to the participants who were paid out as part of the termination.

There was a participant who terminated in '22 and had their distribution processed in early '23, prior to the Plan Termination.

Would they get their piece of the residuals or no, since they were paid out prior to the termination?  Just want to confirm.


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Is this for a DB plan termination? If so, and these are (more) excess assets, they should only be allocated to those who got plan termination distributions.

If a DC pooled plan termination, then they got 12/31/2022 balance early 2023 and agree they are not part of the plan termination, but (as always) check your document to make sure it doesn't require anything different. 

Kenneth M. Prell, CEBS, ERPA

Vice President, BPAS Actuarial & Pension Services


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