Are You Missing a Plan Participant?

Employers will learn that sometimes, finding a missing 401k plan participant is a very difficult task.

The IRS has come out with a statement P-1-187, which gives information on how to make use of its letter forwarding program, which is for companies, individuals and federal agencies who need to locate missing persons.

The steps are as follows:

1. Write a covering letter addressed to the IRS disclosure office found in the area where the petitioner is located. This should include the reason why assistance is required, a list with the details of the persons who need to be located, and the details of the person to whom the IRS is to send the acknowledgement letter.

2. With the covering letter you must attach letter addressed to the individuals who cannot be located, that includes instructions for the receiver to voluntary contact the sender. It’s important to include disclaimer statement as per IRS guidelines.

3. The IRS office, upon receiving a valid request, will then look through its records, and if an address for the missing person is found, they will forward the letter in their own envelope. If the letter is returned as undeliverable, it will then be destroyed but the requestor will have no knowledge of this.

This program is free however for requests involving more that 50 missing persons, there is a program at a cost, from the Disclosure office at Washington DC.

Another option would be the National Registry, where you will be able to register the names of any missing persons that have not claimed their retirement money.

Reference: http://www.401khelpcenter.com/401k/missing-plan-participant.html