We have a 403(b) plan that wants to move record keepers. However, the assets are in some sort of investment that cannot be transferred over without the signed consent of all account holders ("Individual Custodial Trust Account" was the term used, I believe). So, they are thinking of "freezing" the plan and starting a new one with the new r/k. Does this pose a no-deferrals-for-a-year successor plan problem? If not, will they have one if they terminate the first plan at a later date?

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I did a VCP filing for a client in the first quarter of 2019. Because there are a lot of former employees who may be entitled to corrective contributions, I knew that client could face a major issue in locating all former employees who are entitled to receive a corrective allocation. Therefore, I proposed that the client send them a letter asking them to do three things: (1) provide updated contact information; (2) consent to receive documents and notices electronically; and (3) complete an updated beneficiary designation form. The mailing resulted in almost 30 people who have not responded, a number who have and 3 that they still cannot locate. I suggested that the search should start with free Internet searches to locate the missing participants and to verify current addresses of those who failed to respond. Then they should move to cites charging a nominal fee. In your experience, which are the best free internet search sites and which are the best sites that charge a nominal fee for searching for people? Also, does the search include death information? Thanks.

Need help with legalize of QDRO .. my spouse divorced 19 yrs ago in his divorce degree he was to give 1/2 pension to his first wife. At time of divorce no QDRO was filed. We married 3 months ago and now she is asking for her share of his pension which he began drawing in 2011. She wants her 1/2 now and what she feels is due from 2011. If my research is correct the 1/2 pension would only began when the Plan receives a QDRO and no back payments should be granted. She is stating it is my husband's responsibility to file the QDRO now for her .. and I believe she should incur the legal fees not us. and yes this is probably a revenge thing since the pension amount she will receive monthly is under 250.00 per month. Thanks for any help.

Plan is funded between 60% and 80% thus limiting their 100% lump sum option to 50%. A top 25 employee's 50% lump sum is below 1% of the funding target (100% would be above 1% of funding target). The Plan's ERISA attorney is saying this 50% lump sum can be distributed since the 50% lump sum is below 1% of FT. This doesn't seem right since in this case, for example, a plan funded at 78% would allow a 50% lump sum in this situation whereas a plan funded at 82% would allow no lump sum. Thoughts?

Can someone please tell me if my interpretation is correct? A SH 401(k) has dual entry, January 1/July 1, with deferral modifications allowed any payroll period. If an employee becomes eligible to participate on July 1 and chooses not to contribute at that time then changes their mind in September, can they start contributing immediately or do they have to wait until the next entry date of January 1? I consider the election not to contribute as a deferral of 0% which is then subject to the deferral modification dates and they can contribute the next payroll period.

Participant is taking an in-service distribution from their Match Account "today" (cash out/non-rollover). As it turns out we are just about to tell the client they failed ACP testing and a refund is required for this very participant. Can anyone give me a reason why I can't take the position that the in-service distribution covers my ACP refund? The excess match (and then some) is about to be be removed from the Plan. I just don't have time to get the ACP test finalized to process it as an ACP refund yet. The participant has an urgent need for the funds, so no delay availalbe. I will certainly send a letter saying the amount of the ACP refund was not eligible for rollover.