New 403(b) Regulations Released by the Internal Revenue Service Will Place Additional Administrative Responsibilities on School Systems
- ING ready to help school business officials with the transformation -
PRNewswire-FirstCall
HARTFORD, Conn.
Jul 30, 2007
On July 26, the IRS introduced significantly revised guidance for governing 403(b) plans, updated to reflect over forty years of tax acts, into the comprehensive regulations. ING, a leader in the 403(b) market, will assist school systems and other 403(b) plan providers with the transition to the new rules by providing technical assistance and the introduction of new services.
"We recognize the significant administrative impact the new regulations will have on public school districts and plan participants both of whom have many competing priorities," said Bill Jasien, senior vice president, and head of education and retail market distribution. Jasien added, "We are ready to move forward and fully support districts as they manage through this significant 403(b) plan transformation. We are well prepared for these regulations with a robust infrastructure to assist school officials with whatever needs they have in meeting the regulatory requirements."
ING looks forward to supporting school districts with the following:
-- Written plan document that meets IRS requirements.
-- Contribution limit monitoring services for participants' annual
contributions to the 403(b) program, coordinating with all approved
403(b) vendors.
-- Determining whether a participant requesting a withdrawal, loan, or
transfer request may take place under the school's 403(b) program and
the IRS rules.
-- Monitoring when participants will become subject to the IRS' minimum
distribution requirements.
-- Communicating with participants about the regulatory changes affecting
the 403(b) program.
-- Providing schools with a notice reminding all of their employees
eligible to participate in the school's 403(b) program of their
opportunity to save for retirement through that 403(b) program.
-- Reminding participants who are longer service employees about potential
additional savings opportunities by making catch-up contributions to
their 403(b) program.
In addition to a website devoted solely to the 403(b) regulations (www.ing.com/us/403bregs), ING has over 3,000 trained representatives available to help school systems implement the new regulations. ING also has a technical services division where 403(b) experts are available live to help school business officials understand the IRS' 403(b) rules and how to apply them to a 403(b) program.
"ING knows how to help school business officials administer their 403(b) program to meet the requirements of the new laws around 403(b) programs, and so they can make sure the program operates within the guidelines set forth in the IRS regulations," said Linda Segal Blinn, vice president, Technical Services, ING.
ING is a 403(b) plan provider in over 12,000 school districts and more than 1,250 higher education plans. It has over $20.9 billion of U.S. education assets and more than 620,000 individual 403(b) program participants in the education market (according to internal data as of December 31, 2006).
Press inquiries: Phil Margolis, ING, 860-723-4783, phil.margolis@us.ing.com About ING
ING Group is a global financial institution of Dutch origin offering banking, insurance and asset management to more than 60 million private, corporate and institutional clients in 50 countries. With a diverse workforce of more than 120,000 people, ING comprises a broad spectrum of prominent companies that increasingly serve their clients under the ING brand.
In the U.S., the ING family of companies offers a comprehensive array of financial services to retail and institutional clients, which include life insurance, retirement plans, mutual funds, managed accounts, alternative investments, direct banking, institutional investment management, annuities, employee benefits, financial planning and reinsurance. ING holds top-tier rankings in key U.S. markets and serves more than 15 million customers across the nation. For more information, visit www.ing.com.
First Call Analyst:
FCMN Contact: phil.margolis@us.ing.com
SOURCE: ING U.S. Financial Services
CONTACT: Phil Margolis of ING U.S. Financial Services, +1-860-723-4783,
phil.margolis@us.ing.com