http://www.ira-rollover.info http://www.ira-rollover.info/401k_Glossary_J.html Money Purchase Pension Plan: An individual account plan, in which the employer has a fixed obligation to make annual contributions to the plan, usually based on a percentage of pay. http://www.ira-rollover.info/401k_Glossary_J.html http://www.ira-rollover.info/401k_Glossary_F.html Fidelity Bond: In accordance with Section 412(b) of ERISA, all fiduciaries and any other individuals who handle plan assets are required to be covered by a fidelity bond. The purpose of the fidelity bond is to protect a retirement plan's assets from loss due to dishonesty, fraudulent activity or negligence on the part of the fiduciary or any other individual who handles plan assets. http://www.ira-rollover.info/401k_Glossary_F.html http://www.ira-rollover.info/401k_Rollover_Glossary.html 401k Plan: A qualified, employer-sponsored retirement plan in which employees elect to make pre tax contributions in lieu of receiving taxable income. http://www.ira-rollover.info/401k_Rollover_Glossary.html http://www.ira-rollover.info/NQDC_types.html There are many forms of NQDC retirement plans, but they all fall into one of two general categories: Deferral NQDC Plans and Supplemental NQDC Plans. http://www.ira-rollover.info/NQDC_types.html http://www.ira-rollover.info/NQDC.html When properly designed, Non Qualified Deferred Compensation (NQDC) plans can offer tax deferred benefits to a select group of key executives or a single employee without the rigid eligibility and non-discrimination requirements imposed on qualified plans by the Employee Retirement Income Security Act (ERISA). In addition to retirement plan benefits, NQDC plans may include disability or premature death benefits. http://www.ira-rollover.info/NQDC.html http://www.ira-rollover.info/ERISA_Exemptions.html The U.S. Department of Labor has, under authority granted by ERISA, issued a series of exemptions from ERISA 's prohibited transaction rules which allow plans and broker/dealers to engage in some but not all types of securities transactions. http://www.ira-rollover.info/ERISA_Exemptions.html http://www.ira-rollover.info/IRC_and_ERISA_Law.html Both ERISA Law and the IRC Law prohibit plan assets from being used by a fiduciary for certain transactions (known as "prohibited transactions"). These prohibited transactions include the sale, leasing, or lending of plan assets or extension of credit between a plan and a broker/dealer who provides services to the plan. http://www.ira-rollover.info/IRC_and_ERISA_Law.html http://www.ira-rollover.info/To_Avoid_ERISA_Duties.html Establish that the plan's fiduciary (i.e., the trustee, investment committee or the adviser), or plan participant if a "self-directed" account, controls the decisions and does not mechanically follow the financial advisor's buy and sell recommendations. http://www.ira-rollover.info/To_Avoid_ERISA_Duties.html http://www.ira-rollover.info/ERISA_Fiduciary_Duties.html Due to the significant restrictions and responsibilities ERISA regulations place on the financial advisor, branch manager and the financial institution concerned. Usually the financial company will have a policy prohibits any financial advisors from taking discretionary control or otherwise assuming fiduciary responsibility with respect to employee benefit plan, IRA, SEP IRA, or Keogh assets without the written approval of the branch manager, regional director, national sales director and director of compliance. http://www.ira-rollover.info/ERISA_Fiduciary_Duties.html http://www.ira-rollover.info/ERISA_rules.html If there is a financial institution or advisor who is a fiduciary with respect to the 401k retirement plan, usually only agency transactions will be permitted in that account. No commissions are received from such agency transactions unless without certain written disclosures and reports to the plan. Moreover, the plan's trustees must give written permission. http://www.ira-rollover.info/ERISA_rules.html http://www.ira-rollover.info/ERISA_Regulations.html Depending on the financial advisory firm the company is associated with, the following investments can be permitted. http://www.ira-rollover.info/ERISA_Regulations.html http://www.ira-rollover.info/ERISA_Law.html For all intents and purposes, an ERISA covered account is any account established by an employer for an employee that is designed to defer income until termination of employment, death, disability or attainment of a given age, or intended to defray the cost of life, health, or other welfare benefits. http://www.ira-rollover.info/ERISA_Law.html http://www.ira-rollover.info/ERISA_Act_1974.html The fiduciary must discharge his or her duties with respect to a plan for the exclusive benefit of participants and beneficiaries and for the exclusive purpose of providing benefits and defraying reasonable plan administrative expenses. http://www.ira-rollover.info/ERISA_Act_1974.html http://www.ira-rollover.info/Definition_of_Erisa.html According to ERISA, any person or organization which has discretionary authority, control, or renders investment advice for a fee with regard to either the investment of employee benefit plan assets or the administration of the plan, is a fiduciary with respect to that plan. http://www.ira-rollover.info/Definition_of_Erisa.html http://www.ira-rollover.info/ERISA.html The policy underlying ERISA or the Employee Retirement Income Security Act of 1974 is to protect the interests of retirement plans participants and their beneficiaries in employee benefit plans by establishing standards of conduct, responsibility and obligation for fiduciaries and any person providing services to a retirement plan. http://www.ira-rollover.info/ERISA.html http://www.ira-rollover.info/401k_Retirement_Plan.html As a sponsor of a 401k plan (or other defined contribution plan), you have important responsibilities. The Employee Retirement Income Security Act of 1974 (ERISA) holds you accountable for the initial selection of investment alternatives made available to plan participants, for monitoring the performance of those investments and — normally — for the allocation of investments to 401k retirement plan participant accounts. http://www.ira-rollover.info/401k_Retirement_Plan.html http://www.ira-rollover.info/404c_ERISA_Requirements.html A written explanation that the plan is intended to comply with ERISA Section 404c and that the 401k retirement plan ’s fiduciaries may be relieved of responsibility for investment performance as a result of investment choices made by the retirement plan participant. http://www.ira-rollover.info/404c_ERISA_Requirements.html http://www.ira-rollover.info/404c_ERISA.html To comply with 404(c), DOL regulations generally require that plan participants be provided with: The opportunity to choose from a broad selection of investment choices, including a core of at least three different investment alternatives. Each investment alternative must be diversified and have materially different risk and return characteristics. http://www.ira-rollover.info/404c_ERISA.html http://www.ira-rollover.info/404c.html In order to reduce liability for claims brought against retirement plans sponsors by participants for poorly performing funds in defined contribution plans, 404c and its regulations permit responsibility for properly diversifying retirement accounts investments to be transferred to participants. http://www.ira-rollover.info/404c.html http://www.ira-rollover.info/457_Plans.html The " 457 Plans " are deferred compensation plans conforming to section 457 of the Internal Revenue Code that are established by state and local governments and nonprofit organizations. http://www.ira-rollover.info/457_Plans.html http://www.ira-rollover.info/Self_Directed_IRA.html An IRA retirement account is called a self directed IRA if the owner or plan participant has the right to direct the investment of the assets in the IRA account. IRA stands for Individual Retirement Account. http://www.ira-rollover.info/Self_Directed_IRA.html http://www.ira-rollover.info/401k_Transfer.html Can I do a 401k transfer? Absolutely, 401k transfer can be done. A 401k transfer is usually initiated when you are leaving your job. http://www.ira-rollover.info/401k_Transfer.html http://www.ira-rollover.info/IRA_Rollover_into_401k.html Usually it is more common to see a 401k rollover into an IRA. However, occasionally, there are needs for an IRA rollover into a 401k or other qualified retirement plans. This can be done. But the rules depend on the accepting retirement plan. Starting in 2002, an IRA retirement plan owner can roll over, tax free, a distribution from an IRA into a qualified plan, 401k,and other retirement plans including a section 457 plan and a tax-sheltered annuity (section 403b plan). http://www.ira-rollover.info/IRA_Rollover_into_401k.html http://www.ira-rollover.info/401k_Rollover.html An eligible 401k Rollover distribution from a participant's (or a deceased participant's spouse) employer's qualified pension, an IRA rollover from a profit-sharing or stock bonus plan, an IRA rollover from a qualified annuity plan, or tax-sheltered annuity plan (403b plan) or governmental 457 plans, can be rolled over, all or in part into a traditional IRA. This can be referred to as a traditional IRA rollover. http://www.ira-rollover.info/401k_Rollover.html http://www.ira-rollover.info/IRA_rollover.html An IRA rollover is a tax-free distribution of cash or other assets from one retirement plan, 401k, or IRA (individual retirement plan) that are contributed to another retirement plan or IRA. The contribution to the second retirement plan or IRA is called a "rollover contribution." http://www.ira-rollover.info/IRA_rollover.html http://www.ira-rollover.info/index.html Resource website on IRA rollover, ERISA and 401k including self directed IRA, 403b, 457 plans, and 404c rules. http://www.ira-rollover.info