Form Std Fspsrv - Separation From Employment Withdrawal Request 401(A) Plan (Page 14 of 14) in pdf

IRA do not have to start until after you are age 70½. If you treat the

taxation and to continue to have the opportunity to accumulate tax-deferred

IRA as an inherited IRA, payments from the IRA will not be subject to

earnings. There are many complex rules relating to rollovers, and you

the 10% additional income tax on early distributions. However, if the

should read the 402(f) Notice of Special Tax Rules on Distributions carefully

participant had started taking required minimum distributions, you will

before deciding whether a rollover is desirable in your circumstances. You

have to receive required minimum distributions from the inherited IRA.

should also note that a 10% penalty tax may apply to distributions made

If the participant had not started taking required minimum distributions

before you reach age 59½, unless another exception applies.

from the Plan, you will not have to start receiving required minimum

If you defer your distribution of your vested account balance, you may

distributions from the inherited IRA until the year the participant would

invest in the investment options available to active employees. If you do

have been age 70½.

not defer distribution of your vested account balance, the currently available

If you are a surviving beneficiary other than a spouse. If you

investment options in the Plan may not be generally available on similar

receive a payment from the Plan because of the participant’s death

terms outside the Plan. Fees and expenses (including administrative or

and you are a designated beneficiary other than a surviving spouse,

investment related fees) outside the Plan may be different from fees and

the only rollover option you have is to do a direct rollover to an inherited

expenses that apply to your vested account balance in the Plan. For more

IRA. Payments from the inherited IRA will not be subject to the 10%

information about fees, expenses, and currently available Plan investment

additional income tax on early distributions. You will have to receive

options, including investment related fees, refer to the prospectuses and/or

required minimum distributions from the inherited IRA.

disclosure documents regarding Plan investments and fees available from

your Plan administrator and/or Plan service representative.

Payments under a qualified domestic relations order. If you are the spouse

or former spouse of the participant who receives a payment from the Plan

When considering whether to defer your distribution, carefully review the

under a qualified domestic relations order (QDRO), you generally have the

Plan Document and/or Plan’s Summary Plan Description, including the

same options the participant would have (for example, you may roll over the

sections on timing of distributions and available distributions.

payment to your own IRA or an eligible employer plan that will accept it).

FOR MORE INFORMATION

Payments under the QDRO will not be subject to the 10% additional income

You may wish to consult with the Plan administrator or payor, or a

tax on early distributions.

professional tax advisor, before taking a payment from the Plan. Also, you

If you are a nonresident alien

can find more detailed information on the federal tax treatment of payments

If you are a nonresident alien and you do not do a direct rollover to a U.S.

from employer plans in: IRS Publication 575, Pension and Annuity Income;

IRA or U.S. employer plan, instead of withholding 20%, the Plan is generally

IRS Publication 590-A, Contributions to Individual Retirement Arrangements

required to withhold 30% of the payment for federal income taxes. If the

(IRAs); IRS Publication 590-B, Distributions from Individual Retirement

amount withheld exceeds the amount of tax you owe (as may happen if you

Arrangements (IRAs); and IRS Publication 571, Tax-Sheltered Annuity

do a 60-day rollover), you may request an income tax refund by filing Form

Plans (403(b) Plans). These publications are available from a local IRS

1040NR and attaching your Form 1042-S. See Form W-8BEN for claiming

office, on the web at , or by calling 1-800-TAX-FORM.

that you are entitled to a reduced rate of withholding under an income tax

treaty. For more information, see also IRS Publication 519, U.S. Tax Guide

for Aliens, and IRS Publication 515, Withholding of Tax on Nonresident

Aliens and Foreign Entities.

Other special rules

If a payment is one in a series of payments for less than 10 years, your

choice whether to make a direct rollover will apply to all later payments in

the series (unless you make a different choice for later payments). If your

payments for the year are less than $200 (not including payments from a

designated Roth account in the Plan), the Plan is not required to allow you

to do a direct rollover and is not required to withhold for federal income

taxes. However, you may do a 60-day rollover. Unless you elect otherwise,

a mandatory cash-out of more than $1,000 (not including payments from

a designated Roth account in the Plan) will be directly rolled over to an

IRA chosen by the Plan administrator or the payor. A mandatory cash-out

is a payment from a plan to a participant made before age 62 (or normal

retirement age, if later) and without consent, where the participant’s benefit

does not exceed $5,000 (not including any amounts held under the plan as

a result of a prior rollover made to the plan).

You may have special rollover rights if you recently served in the U.S. Armed

Forces. For more information, see IRS Publication 3, Armed Forces’ Tax

Guide.

Postponement of Distribution Notice

Generally, if your vested benefit exceeds $1,000.00, you have the right

to defer distribution of your vested account balance from the Plan. If you

elect to defer your distribution, the Plan will not make a distribution to you

without your consent until required by the terms of the Plan or by law.

If you elect to defer your distribution, your vested account balance will

continue to experience investment gains, losses and Plan expenses. As a

result, the value of your vested account balance ultimately distributed to

you could be more or less than the value of your current vested account

balance. In determining the economic consequences of postponing your

distribution, you should compare the administration cost and investment

options (including fees) applicable to your vested account balance in the

Plan if you postpone your distribution to the costs and options you may

obtain with investment options outside the plan.

Upon distribution of your vested account balance from the Plan, you will be

taxed (except to the extent your vested account balance consists of after-tax

contributions or qualified amounts held in a ROTH money source) on your

vested account balance at the time of the distribution if you do not rollover

your balance. As explained in greater detail in the 402(f) Notice of Special

Tax Rules on Distributions, you can roll over your distribution directly or you

may receive your distribution and roll it over within 60 days to avoid current

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STD FSPSRV

07/31/17

98721-01

WITHDRAWAL

DOC ID: 492627235

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Page 14 of 14

Form Std Fspsrv - Separation From Employment Withdrawal Request 401(A) Plan Page 14

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