Default User wrote:
>> One other thing mentioned in the notice...plan administrators need to
>> honor requests to rollover directly to a Roth IRA.
>
> Will they? What's the difference from their standpoint? Sending two
> checks to the receiving institution?
Very generally...the issue is that plan administrators have certain
responsibilities and liabilities, including some that are triggered when
distributing funds. And some "legally permissible" aspects of these
plans only take effect if the plan documents are amended accordingly.
But Notice 2008-30 says, for example, that the administrator doesn't
need to verify that the participant qualifies to make the transfer to a
Roth - see Q-5.
-Tad
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