Prepare Internal Transfer Checklist:

 

  • An Internal meeting is needed to set the timeline for the transfer and set a plan with the other departments. The checklist for the agenda for the meeting and to note specifics of the transfer is in the BlueStar Forms drive - Conversions - Internal Transfer Checklist. 

 

Schedule Call with RK, Payroll, and Deconversions:

 

  • Include Blair, Gretchen, Katie from RK and Jim from Deconversions. Conversions will lead the call. Purpose of call is to review the checklist, address any concerns, and set dates for the internal transfer. Include the completed Internal Transfer Checklist (blackout dates can be left blank until decided on the call). 
  • Payroll needs to know when the last pay date will be on the transferring plan/adopter so that they can turn off late contribution notifications and not process any files that get uploaded mistakenly. 
  • After the call, add a calendar invites for 8am ET for blackout begin and for the liquidation/in-kind transfer date for all attendees on the internal call.

 

Custodian Requirements:

  • Schwab requires a signed letter authorizing the transfer. The letter must be submitted to yourclientserviceteam@schwab.com and approved prior to the transfer date. Letter templates are in Fresh Desk -> Solutions ->Internal Help Center Conversions -> Merger/Transfer - > Internal Transfers.
    • The letter should be signed by the authorized signer for the plan that the assets are coming from. Once signed send to Schwab at the address above.
  • Matrix does not require a plan to plan/merger transfer letter. We give the direction for the transfer.
  • MATC does require a plan to plan transfer/merger letter.

 

Notes in PC:

  • Notes need to be added in PC to the transferring plan/adopter and the new plan/adopter so that the call center will have the information for participant calls.
  1. Adopter to Adopter:
  2. To add a note in PC, got to Database Wizard -> Companies ->Notes.

 

  1. Adopter to Indy Plan:
    1. To add a note in PC, got to Database Wizard -> Companies ->Notes. Then Database Wizard -> Plan -> Notes.

 

 

Transfers In and Out:

  • Add a folder labeled xxTransferOutxx in the plan the assets are transferring from to the plan folders. Save the shortcut to the same folder in the new plan/adopter folders in the plan setup folder. 
    1. Add the completed Internal Transfer Checklist to the folder.
  • In PC -> Tasks -> Merger Transfer then choose Transfer Out or Transfer In for your transfer.
    1. New Plan Type will be the plan that will receive the assets is the resulting plan and would be selected in the drop down under New Plan Type.

Example - Central Indiana Indy merger to Aptura Group 

Transfer Out:

Transfer In:

 

Blackout:

  • When the plan goes into blackout, turn the web off on the old plan.


In-Kind or Mapping Transfer:

  • If we are moving the assets in-kind and not liquidating, a list of the funds in the plan that is being transferred out needs to be compiled that includes the funds in the plan and balances. A check needs to be completed to make sure that the funds in the receiving plan are setup so the transfer can be completed.
    1. Pull the fund balances from Relius - Reporting -> Query -> Fund Balances/Accruals/Participant Counts choose plan, then change window to excel and select file and save to the plan directory under transfer activity. The report will have balance by $$ and units.The file that is created with the fund balances needs to be saved in the xxTransferOutxx folder.

 

  1. Compare the Relius report to the new plan/adopter funds in PC – Database Wizard -> Investments -> Funds by Plan. 
  2. This is the same process if there is mapping, including the mapping instructions.

 

 

Exports to move data from old plan/adopter to new plan/adopter:

  • Export census from previous plan using StatusExport with Census DER Complete.
  • Export contribution rates and beneficiary elections from PC.
  • If requested by advisor or fund is mapping/in-kind, submit PC2 activity to move investment elections when plan goes into blackout or prior to first payroll.

If single employer plan merging into another plan, create a PC2 activity for the Final 5500 filing. Category: Compliance – Government Filing. Subcategory: Government Filing 5500 – Final.


Note - Many PEOs give the participants a termination date when they leave the PEO. It’s not a true DOT but a PEO date of term. If the revocation date has not been added to PC, then those PEO term dates can get loaded into Relius. Employee records are attached to the company record so if DOT is loaded in the old plan, they will carry through to the new plan. It does not always happen but it is a lot to clean up when it does so the revocation date is important.