What will happen to the balance in my account with my old 403(b)/457 provider?

You will most likely be required to leave the balance of your account with your old provider.  The District freezing the SVVSD 403(b) and 457 plans did not trigger a distributable event, so you may not rollover the balance of your account unless you qualify under the normal distribution provisions, which are:

  • 403(b)
    • Separate from service/retire
    • Attain age 59 1/2
    • Become Disabled
    • Death
  • 457(b)
    • Separate from service/retire
    • Attain age 70 1/2
    • Death

If you have two separate pre-existing accounts with two different approved providers under the old 403(b) or 457 plans, you have to option to combine these accounts at any time.  (Doing so may subject you to contract surrender fees with the old provider—please talk to your advisor first.)


Category: Plan Revision Frequently Asked Questions

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