Defined benefit plans

IRS Provides Model Amendments For Defined Benefit Plan Sponsors to Offer Bifurcated Distribution Options

Topics: Defined benefit plans, IRS, Qualified Plans, Regulation

In Notice 2017-44, IRS provides model amendments for qualified defined benefit (“DB”) plan sponsors used in offering bifurcated distribution options to participants in accordance with the recently issued final regulations regarding required survivor annuity distribution options. The final regulations provide two acceptable bifurcation methods –

At Last – IRS Enhances Defined Benefit Plans.

Topics: Defined benefit plans, IRS, Qualified Plans, Regulation

The IRS issued final regulations that enhance DB plans by allowing them to offer participants the option to select distributions partly in an annuity form and partly in a single lump sum. These regulations allow plans to bifurcate the accrued benefit and apply the present value requirement of Internal Revenue Code (“Code”) §417(e)(3) only to…