403(b) Thrift Plan for Employees of Care Alliance

Left in 2019, 2021, 2024? Worth asking about employer money

• In plan year 2019, 43 people (29% of active participants) left before they were fully vested. Turnover that high can count as a partial plan termination (Revenue Ruling 2007-43), which requires full vesting of employer money for those who left. The plan may argue it was routine turnover. Informe
• In plan year 2021, active participants fell from 109 to 87 (20%), and 27 people left before they were fully vested. When a plan loses about 20% or more of its participants in a year, the IRS presumes a partial plan termination (Revenue Ruling 2007-43). Everyone who left in that period must then be fully vested in the employer's contributions. A 2021 law (Consolidated Appropriations Act, section 209) can excuse a drop between March 2020 and March 2021 if the plan had rehired enough people by March 31, 2021. Informe
• In plan year 2024, active participants fell from 125 to 79 (37%), and 15 people left before they were fully vested. When a plan loses about 20% or more of its participants in a year, the IRS presumes a partial plan termination (Revenue Ruling 2007-43). Everyone who left in that period must then be fully vested in the employer's contributions. Informe

This is a reason to ask the plan, not a finding. The plan decides, and it may show the drop was routine.

Check my years

¿Trabajó aquí?

Revise sus años. Le mostramos si el plan se fusionó o movió dinero mientras usted estaba allí, y preparamos la carta al plan que lo tiene hoy.

Check my years