Plan Termination 2009
Rev. 10/09/09; E-mail Alert 2009-16

To terminate a plan always requires bringing it up-to-date with any law and regulatory changes that occurred since the document was last updated.

For a preapproved defined contribution plan such as a 401(k).
For 2009, we have recommended that a terminating preapproved defined contribution first be restated onto the EGTRRA document. In addition, the following amendments are needed:

• Final Section 415 amendment
• Pension Protection Act of 2006 Amendment*
• Heroes Earnings Assistance and Relief Tax Act of 2008 (HEART) Amendment*
• Emergency Economic Stabilization Act of 2008 (EESA) Amendment*
• Worker, Retiree, and Employer Recovery Act of 2008 (WRERA) Amendment*

* All these amendments are incorporated into one amendment for our prototype.

For 2009, a 403(b) Plan Termination
The employer needs to have adopted a written plan document effective January 1, 2009 that is compliant with Code Section 403(b) and the Final 403(b) Regulations of July 26, 2007. An amendment incorporating the following:

• Pension Protection Act of 2006 Amendment*
• Heroes Earnings Assistance and Relief Tax Act of 2008 (HEART) Amendment*
• Emergency Economic Stabilization Act of 2008 (EESA) Amendment*
• Worker, Retiree, and Employer Recovery Act of 2008 (WRERA) Amendment*

* All these amendments are incorporated into one amendment for our specimen document.

For a GUST preapproved Defined Benefit Plan Being Terminated in 2009.

A GUST Termination Amendment including the following must be made:

• Pension Funding Equity Act of 2004 (PFEA) Amendment
• Retroactive Annuity Starting Date (RASD) Amendment (if applicable in plan)
• Final Required Minimum Distribution Regulations of 2004 (this is part of the PFEA amendment for our prototype document.
• Pension Protection Act of 2006 (PPA) Amendment
• Final Section 415 Regulations Amendment
• Heroes Earnings Assistance and Relief Tax Act of 2008 (HEART) Amendment
• Worker, Retiree, and Employer Recovery Act of 2008 (WRERA) Amendment

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