Carter Angell

Ask Nyhart articles written by Carter:

• How do you freeze a pension plan?

  In order to freeze a pension plan, the plan must be amended to indicate that it is frozen.  Such amendment must be completed and signed no later than the effective [...]

• What are the minimum contribution requirements of a frozen pension plan?

  Some defined benefit plans have been amended to cease benefit accruals.  These plans are called “frozen” plans.  Although no further benefits accrue under the plan, the plan generally does not [...]

• How often does a valuation need to be completed for a pension plan?

  An actuarial valuation is used to determine the annual funding for a defined benefit plan.  A pension plan that is subject to minimum funding requirements generally must complete have an [...]

• What are the contribution requirements of a frozen pension plan?

  Some defined benefit plans have been amended to cease benefit accruals, and typically also close the plan to new entrants.   These plans are called “frozen” plans.  Although no further benefits [...]

• Can you force participants to take a lump sum distribution from a pension plan?

  Yes, a defined benefit plan may force a plan participant to receive a lump sum distribution without the participant’s consent, which is commonly referred to as a “mandatory cashout”.  The [...]