February 23, 2009

Integrated plan

Your Guide

Definition

An employer sponsored  retirement plan for which contributions are allocated based on social security integration

Referring Cite

IRC § 401(l) , Treas Reg § 1.401(l)-1 Permitted disparity in employer-provided contributions or benefits, Treas Reg § 1.401(l)-2 Permitted disparity for defined contribution plans, Treas Reg § 1.401(l)-3 Permitted disparity for defined benefit plans, Treas Reg § 1.401(l)-5 Overall permitted disparity limits ,Notice 89-70

Additional Helpful Information

Written By

Retirement Dictionary Staff

Frequently Asked Questions Regarding

Answer

Yes. You are not treated as an active participant for any taxable year because of the following:
• You are covered under social security or railroad retirement
• You receive retirement benefits from a previous employer’s plan
• The only reason you participate in a plan is because you are a member of a reserve unit of the armed forces and both of the following conditions are met.
o The plan you participate in is established for its employees by:
1. The United States,
2. A state or political subdivision of a state, or
3. An instrumentality of either (a) or (b) above.
• You did not serve more than 90 days on active duty during the year (not counting duty for training).
• The only reason you participate in a plan is because you are a volunteer firefighter, and both of the following conditions are met.
o The plan you participate in is established for its employees by:
1. The United States,
2. A state or political subdivision of a state, or
3. An instrumentality of either (a) or (b) above.
o Your accrued retirement benefits at the beginning of the year will not provide more than $1,800 per year at retirement, (when expressed as a single life annuity commencing at age 65).

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