It’s Time to Restate Your Defined Benefit Plan Document
Every retirement plan is required to have a formal written document that spells out how it operates.
When Congress passes new laws that impact how retirement plans work, the IRS and other agencies create new regulations to reflect these changes and, as you might expect, some need to be incorporated into your plan document. The formal rewrite and re-adoption of your plan document is a called a restatement. Given the hundreds of thousands of qualified retirement plans, the government established
Your Defined Benefit plan is modeled on a pre-approved prototype or volume submitter document that’s part of a cycle that must be restated every six years. It’s important to know that the deadline to restate your plan is April 30th 2020. This current cycle is related to The Pension Protection Act of 2006 which introduced many important changes to retirement plans. You may hear this referred to as the “PPA Restatement.”
It’s a big project and our goal is to complete it well in advance of the government’s deadline. We’ll be reaching out to communicate more information about the details of the restatement process and the costs associated with completing this essential work for you.
As always, don’t hesitate to reach out to ask questions or to chat about how we can help achieve your retirement goals.
Disclaimer: Please note that the material presented is for informational purposes only, is general in nature, and is not intended to and should not be relied upon or construed as legal, financial, or investment advice regarding any specific issue or factual circumstance. Reproduction, copying, or distribution of these materials is prohibited without the express written permission of GSM. The information is presented “as is” without warranty of any kind, either express or implied, including without limitation, warranties of merchantability, or fitness for a particular purpose. Your use of this material is at your own risk and GSM assumes no liability or responsibility for any errors or omissions in the content. Although every reasonable effort is made to present current and accurate information, GSM makes no guarantees of any kind and cannot be held liable for any outdated or incorrect information. Under no circumstances shall GSM be liable to you or any other person for damages of any amount or character arising from your access to, or use of, this material.