La. Admin. Code tit. 32 § VII-323

Current through Register Vol. 50, No. 9, September 20, 2024

Section VII-323 - Section 3121 Participants

A. Notwithstanding any other provisions in this plan to the contrary, the following shall apply to all section 3121 participants:

1. annual allocations to each section 3121 participant's account must be equal to at least 7.5 percent of the participant's annual compensation;

2. all amounts deferred by a section 3121 participant shall be held in a non-forfeitable account. Such account shall be credited with earnings at a rate that is reasonable under all the facts and circumstances or employees' accounts are held in a separate trust that is subject to general fiduciary standards and are credited with actual net earnings on the trust fund, in accordance with IRS Treas. reg. §31. 3121(b)(7)-2(e)(2)(iii);

3. no distributions from the Plan shall be made to a section 3121 participant before such Participant severs employment.

B. In the event a section 3121 participant no longer intends to use the plan as a retirement system providing FICA replacement benefits pursuant to IRC §3121(b)(7)(F) and the regulations thereunder, the participant may transfer any amounts being held pursuant to this Subsection to an account described in §505 of the plan.

La. Admin. Code tit. 32, § VII-323

Promulgated by the Department of the Treasury, Deferred Compensation Commission, LR 37:1620 (June 2011).

AUTHORITY NOTE: Promulgated in accordance with IRC §457 and R.S. 42:1301-1308.