The Department of Labor (DOL) has estimated that there is $15 million in retirement plan distribution checks that go unclaimed because plan participants, or their beneficiaries have failed to cash distribution checks. This has now become an issue for retirement plans as uncashed checks become plan assets. As the plan sponsor, this is a fiduciary duty and failure to take the appropriate steps to locate the participants, can be considered a breach of duty.
This newsletter will focus on the requirements of what the plan sponsor should do and how to search for missing participants, as well as what the options are if the participant cannot be found.
|Dealing with Uncashed Distribution Checks and Missing Participants.pdf||855.49 KB|