Cover sheet for Form 703MP

Clarifications to PBGC Form 703MP
for your
Roth Account Only

✓ If you also have a non-Roth account in the plan, you must elect a lump sum payment of both accounts,
before a lump sum may be paid.
o If you have a non-Roth account, you will also receive a Form 703MP for the non-Roth account.
o If you don’t elect a lump sum for both accounts and complete both Form 703MP (with spousal
consent if married) you cannot receive a lump sum.
✓ Without the lump sum election(s), you will receive a life-time annuity from both accounts, payable for
your lifetime, or as a joint-and 50% survivor form if you are married at the time you retire.
o You will receive information about other annuity options when you retire.
❖ There are some special rules that apply to the payment of your Roth Account.
❖ Some of these special rules require clarification of the Form 703MP for payment of Roth Accounts, as
follows:

CLARIFICATIONS
Form 703MP Section 5 Payment Election – clarifications applicable to Roth payments underlined
• Introduction: Please read the enclosed Special Tax Notice Regarding Non-Periodic PBGC Payments
From Designated Roth Account. Be sure you understand the tax implications of having PBGC pay
the lump sum directly to you or to a Roth individual retirement arrangement (IRA) or a designated
Roth account in a qualified retirement plan.
Please elect only one option - A or B. If you do not elect an option or if you elect more than
one option, PBGC will pay you according to option B.

•

Option A –for your direct rollover, you may transfer to a Roth IRA or a designated Roth account
in a qualified retirement plan.

•

Option C – Do not elect. The “Split my payment” option is NOT available for your Roth
account payment.

•

Last Sentence on page 4: If you selected option A, complete Section D on page 5.

•

D. Rollover Information o Do not elect. The “Traditional IRA” option is not available for your Roth Account
payment
o Qualified retirement Plan option is to a Roth Account in a qualified retirement plan