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This report is intended for use by the management of the Variable Annuity Life Insurance Company ("VALIC") and its subsidiaries.
VALIC Retirement Services Company ("VRSCO") and VALIC Financial Advisors, Inc. ("VFA"), its user entities, and the independent
auditors of its user entities, and is not intended and should not be used by anyone other than these specified parties.
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Retirement Manager
Control Objective 11
- Controls provide reasonable assurance that employer, plan and vendor information setup
in Retirement Manager is authorized and processed accurately, completely and in accordance with instructions
received from the plan sponsors, vendors and participants.
VALIC Control Activities
Tests of Operating Effectiveness
Results of Tests
11.1 A quality review is completed
to validate that Retirement
Manager is set up according to
the employer plan and vendor
information received.
Inspected a sample of Employer, Plan,
and Vendor information setups in
Retirement Manager to determine
whether the quality review checklist
was completed and Implementation
Coordinator quality review
was performed.
No exceptions noted.
11.2 A Retirement Manager
Contribution Limit Enforcement
module is available for selected
plan sponsors with IRC 403(b),
401(k), 401(a)/403(a),
414(h) and 457(b) plan types.
Retirement Manager proactively
reduces or stops deferral
amounts for employees to
prevent excess contributions
calculated by the system.
Observed a contribution to determine
that for a plan where the Contribution
Limit Enforcement module was
activated, whether Retirement Manager
proactively reduced or stopped the
contribution when the participant's
contribution limit was reached.
No exceptions noted.
11.3 A Retirement Manager Hardship
Withdrawal Enforcement module
is available for selected plan
sponsors with an IRC 403(b)
plan type. Retirement Manager
suspends elective contributions
for a period of six months or more
if designated by the plan.
Observed a contribution to determine
when Hardship Withdrawal
Enforcement Module was activated,
and whether Retirement Manager
suspended the elective contribution
and indicated a suspension period.
Observed Retirement Manager
to determine whether Retirement
Manager blocked ongoing contribution
and the remaining payroll dates were
made unavailable.
No exceptions noted.
No exceptions noted.
IV. VALIC control objectives and controls, and PricewaterhouseCoopers LLP's tests of operating
effectiveness and results of tests