METLIFE RESOURCES PUBLISHES WHITE PAPER AS PART OF CONTINUING EFFORTS TO HELP EMPLOYERS PREPARE FOR NEW 403(b) REGULATIONS
NEW YORK, February 12, 2008
MetLife Resources, a division of MetLife (Metropolitan Life Insurance Company), today announced the availability of its white paper "The New World of 403(b) Plan Administration," as part of its continuing efforts to help employers prepare for the new 403(b) plan regulations. The white paper presents an overview of new requirements and analyzes new guidance recently released by the Internal Revenue Service in Revenue Procedure 2007-71.
"Employers continue to have many questions about their role as 403(b) plan administrators and the decisions they need to make before January 1, 2009. While the new guidance has clarified several issues, many employers are simply overwhelmed by the complexity of the new regulation and are looking for clear information from reliable sources," says Thomas G. Hogan, Jr., senior vice president and head of MetLife Resources. "This white paper will serve as a valuable tool that can help employers make informed decisions in the coming months. MetLife is a leader in this market and is committed to providing our clients with information, tools and resources as they prepare for January 1, 2009."
The white paper was written by Jason Bortz, Esq., an attorney and 403(b) plan expert with the employee benefits law firm, Davis & Harman, LLP. It discusses orphan contracts, which are outstanding annuity contracts and custodial accounts that are not authorized to receive contributions when the final regulations go into effect on January 1, 2009, and how these contracts are affected by the final rules, issued in July 2007, and the new guidance. The paper also addresses the categories of orphan contracts and identifies some issues that an employer should consider in dealing with these contracts, including whether the employer should enter into information sharing agreements with the contract providers.
In conjunction with the white paper, MetLife Resources will be offering a webcast about information sharing agreements on Wednesday, February 20 at 2:00 p.m. ET. The webcast will be moderated by PLAN SPONSOR magazine and offers further insight about changes to the rules governing contract exchanges and transfers, as well as how information sharing agreements may impact employers’ 403(b) plan design. For more information about the webcast, please visit www.plansponsor.com/MetLifeWebcast.
MetLife Resources, a division of MetLife, provides retirement plan and other financial services to healthcare, education, and not-for-profit organizations. MetLife is a subsidiary of MetLife, Inc. (NYSE: MET), a leading provider of insurance and financial services with operations throughout the United States and the Latin America, Europe and Asia Pacific regions. Through its domestic and international subsidiaries and affiliates, MetLife, Inc. reaches more than 70 million customers around the world and MetLife is the largest life insurer in the United States (based on life insurance in-force). The MetLife companies offer life insurance, annuities, auto and home insurance, retail banking and other financial services to individuals, as well as group insurance, reinsurance and retirement & savings products and services to corporations and other institutions. For more information, please visit www.metlife.com.