Regulatory Alerts2021-11-10
RF.R.5.10 – Preservation of Retirement Benefits
The financial regulator issued RF.R.5.10 to mandate the preservation of retirement benefits when members leave their funds before reaching retirement age. This standard requires retirement funds to retain withdrawn savings as preserved benefits rather than paying them out immediately, ensuring continued tax-advantaged growth. Compliance obligations include updated record-keeping procedures, clear member communication regarding benefit status, and strict adherence to prescribed transfer timelines.
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