RSVP Rule Changes
Effective January 1, 2013, the following changes for Lay Employees' Defined Benefit Plan (Lay DB Plan), Lay Employees' Defined Contribution (Lay DC Plan) and RSVP took effect:
- Employees who work a minimum of 1,000 hours annually are required to be enrolled in an eligible Pension Plan offered by their employer. Employers can offer the Lay DB Plan, the Lay DC Plan or an eligible plan authorized by CPF. For more details, see Lay Pension System.
- The RSVP will be available only to lay employees whose employers have adopted the Lay DB Plan.
- Employers that currently sponsor the Lay DB Plan as well as the RSVP must make sure that any eligible lay employees who are participating in the RSVP are also participating in the Lay DB Plan.
- Lay employees who have an RSVP account and work for an employer that has adopted the Lay DC Plan have the option of transferring the assets in their RSVP accounts to their Lay DC accounts. To do so, they should complete an Employee Application Form and a Transfer/Rollover/Exchange Form available from Fidelity by calling (877) 208-0092.
- Employees are not required to transfer their assets out of their RSVP accounts.
- Employers and employees can continue to contribute to an employee's RSVP account until the account is transferred or April 1, 2013, whichever is earlier.
- Contributions can be made to an employee's Lay DC account.
- New eligible lay employees must be enrolled in the Lay DC Plan.
To download information about the changes, click here.