Changes to a retirement plan that affect participants’ access to their investments, such as transferring to a new recordkeeper or fund manager, may require a blackout period. During this time, the ability for participants to select or change investment options, transfer assets, or obtain withdrawals and loans may be limited or restricted.
Plan sponsors must give participants 30 days’ advance notice of any blackout period that will last more than three consecutive business days. If extenuating circumstances prevent the plan sponsor from sending the notice out at least 30 days prior to a blackout period, the sponsor must provide the notice as soon as administratively possible under the circumstances.
Whether delivered electronically or in writing, blackout notices must include:
See our sample plan notices that you can customize to communicate with your employees. You can also contact your Retirement Plan Coordinator if you have questions.