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Prepared for Springfield R-XII School District
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VRSCO Retirement Manager provides an online, plan-level benefit statement reflecting
year-to-date contributions and account balances across vendors for each employee.
Plan sponsors are provided an aggregate view of retirement plan participation across
vendors. Retirement Manager does not impact the participant statements that each
vendor provides. Each vendor is responsible for providing participant statements with
their specific vendor account information.
4. Can you, an affiliated or other related party, provide necessary information sharing?
VALIC Retirement Services Company (“VRSCO”)
5. Describe your capabilities and processes for performing plan-level screening and or
approval of the following items. Specify whether the processes are manual or
automated, and any limitations on the number of permitted providers:
a. Distributions generally.
Retirement Manager offers distribution eligibility certificates for loans, hardships, in-service
exchange and separation from service. There is no maximum number of vendors that can
be accommodated within Retirement Manager.
b. Hardships.
When a participant wants to apply for a hardship withdrawal at the eligible plan vendor of
their choice, they request a distribution eligibility certificate from Retirement Manager.
The eligibility certificate is then presented to the vendor approving the distribution.
When a participant requests a hardship withdrawal eligibility certificate, Retirement
Manager validates against plan rules entered into Retirement Manager. These include:
Does the plan allow hardship withdrawals?
Does the plan allow safe harbor rules only?
Does the plan limit the number of distributions in a 12-month period?
Does the distribution require plan sponsor signature (will only be required if the plan
sponsor elects)?
Next, the requested distribution is validated against participant transaction data in the
database provided by the approved plan vendors. If there is unrestricted pre-89 money
available, the distribution request is directed to the vendor with the pre-89 money. If
there is loan availability to meet the hardship amount requested, the participant is
prompted to use loan resources first. If taking the loan will create a hardship in itself, the
participant is able to certify the statement and proceed with the certificate request. If a
request meets all distribution validations, it is issued to the participant. If the request is
denied based on the distribution validations, the plan sponsor can override and issue the
certificate upon request by the participant.
Retirement Manager will not change the participant’s current hardship distribution
process with their selected vendor.