The school year is nearly finished and thoughts turn to upcoming summer fun and vacations. We are never on vacation and we are available always to assist you with the ever changing forms and regulations. Let us know what we can do to help you this summer.
Your friends at the Minot Service Center
Important UpdatesThere are no Important Updates at this time. Stay tuned for updates as they become available.
Hints to Hassle-Free ProcessingForm 5498 Mailing Reminder
The IRS requires IRA contributions to be reported on Form 5498 and that the Form 5498 is mailed by June 1st.
Clients who are to receive a Form 5498 for the 2016 Tax Year can expect to receive their Form 5498 following the June 1st mailing.
Transfer In Form Reminder
An updated version of the Transfer/Rollover/Exchange Request, form 141983, was implemented January 6, 2017. The Surrender Charge Acknowledgement in Section 2 has been moved under the Current Provider Information. Older versions of this form were no longer accepted as of March 3, 2017.
Important Annual ACD and RMD Mailing with a Time Sensitive Response Required
In February, 2017, contract owners with a qualified contract under a Tax Sheltered Annuity (TSA), Individual
Retirement Account (IRA) or other tax-favored plan who have a 4/1/2017 Annuity Commencement Date (ACD)
will receive a letter with a required minimum distribution (RMD) and ACD form reflecting the options available
to them. If any of your clients are affected, ReliaStar Life Insurance Company will mail you a letter indicating
their names and contract numbers. Your assistance is needed to ensure your clients respond in a timely
manner.
Impact of Not Responding: If a contract owner fails to respond by 4/1/2017, their contract’s default annuity
payout or settlement option will be processed. In general, default annuity payments will be made in equal
periodic payments to the contract owner for the life of the annuitant or ten years, whichever is longer, or in
a lump sum payout (e.g., for smaller accumulation values) unless their contract provides for a different
default payment option. Therefore, your client’s failure to respond by 4/1/2017 could result in an
unintended commencement of annuity payments under their contract without any action on their part.
New Business Not In Good Order for March 2017 was 38.00%
Repeated NIGO items when submitting new business include the following:
· Transfer/Rollover/Exchange Request Form #141983, Section 2 Current Investment Provider Information where the surrender charge dollar amount and percentage has to be disclosed/acknowledged, double check this section before submitting to new business.
· Transfer, exchange or rollover form missing employer/TPA sign off and also missing form #141983
· New business application missing client/owner information.
· New business application replacement questions
· Suitability form is either missing or incorrect information is on the form.
Form Updates and ChangesImportant Form Changes
Updated Money Out Forms
New Money Out forms will be available April 28, 2017. Current forms will be accepted through 4:00 p.m. Eastern Time (3:00 p.m. Central Time), June 26, 2017. Changes were made to the forms to improve the flow, update tax verbiage, and bring consistency in format to increase good order submissions.
Please visit the Voya for Professionals website to download the updated forms.
Key changes for each form are provided below.
· The SSN___ field was revised to include TIN, i.e., SSN/TIN____
· A Resident State for Tax Purposes____ field was added to the Contract Owner Information, Participant Information, Alternate Payee Information, and Beneficiary Information sections.
Form Description/Section / Order No. / VersionAgreement for Required Minimum Distribution Option (RMD)
· RMD Options – Select which tax year RMD you want distributed. Select both boxes if applicable. □ Previous year □ Current year
· WAIVER OF WITHDRAWAL CHARGE – New section for 403(b) products.
· Electronic Fund Transfer – Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 119398 / 04/28/2017
Outgoing Rollover/Transfer/Exchange/Request Fixed/Variable Annuities
· INSTRUCTIONS PAGE 1 – Updated the Required Minimum Distribution (RMD) instructions. Complete only if electing a Direct Rollover and if distribution is subject to an RMD. This is only applicable on full withdrawals. An RMD will not be disbursed when a partial withdrawal is requested.
· Withdrawal Charge/Market Value Adjustment Acknowledgement section has been added. (Prior to processing your request, we require written acknowledgement of any withdrawal charges and/or market value adjustment of $500 or more. If not provided, your request will be returned for completion and resubmission.)
· Disbursement Type – Updated to clarify and/or add missing IRS portability options, i.e., Qualified Plans (403(b), 401(a), or 401(k)) Transfer to Purchase Years of Service, Direct Rollovers, and IRA Transfer, e.g. Inherited IRA, Inherited Roth IRA.
· REQUIRED MINIMUM DISTRIBUTION (RMD) – Added tax withholding options for the RMD. / 144774 / 04/28/2017
Full or Partial Withdrawal Request Fixed/Variable Annuities
· Partial Withdrawal to Repay Outstanding Loan(s) section has been added. Complete this section only if you are requesting a Partial Withdrawal and want repay an active or defaulted outstanding loan balance(s) with amounts deducted from your contract value.
· Withdrawal Charge/Market Value Adjustment Acknowledgement section has been added. (Prior to processing your request, we require written acknowledgement of any withdrawal charges and/or market value adjustment of $500 or more. If not provided, your request will be returned for completion and resubmission.) / 119324 / 04/28/2017
Non-Financial Service Request
· Name Change – Added driver’s license as an as acceptable documentation for name change. Please provide a legal document (such as marriage certificate, divorce decree or driver’s license) to support this change.
· Address/Phone Change – Added Resident state for tax purposes ___ field.
· Date of Birth Correction section has been added. – Complete this section when a correction is required to the Date of Birth on the contract.
· Signatures and Authorization – (Section 457(b) contracts: The employer’s signature is required for beneficiary changes.) / 138975 / 04/28/2017
Settlement Options/Annuitization Request Non-Government 457(b) Contracts
· Annuitization and Settlement Options – Added Co-Annuitant Name ___ and SSN/TIN___ fields under the Joint Lifetime Options. Updated option E. Joint and Survivor with 10 year period certain. It was listed previously as ‘period certain 10 to 30 years’.
· Required Minimum Distribution (RMD) section has been added.
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 153624 / 04/28/2017
Settlement Options/Annuitizations Request
· Annuitization and Settlement Options – Added Co-Annuitant Name ___ and SSN/TIN___ fields under the Joint Lifetime Options. Updated option E. Joint and Survivor with 10 year period certain. It was listed previously as ‘period certain 10 to 30 years’.
· Moved the Account You Are Moving Assets To section to page 5.
· Required Minimum Distribution (RMD) – Added Options for distributing the RMD. Added Tax Withholding options for the RMD.
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 121533 / 04/28/2017
Systematic Withdrawal Request
· Withdrawal Amount – Added the following:
• Specify the date you want the first systematic withdrawal check to be mailed (allow 3-5 business days for processing).
• If electing EFT, specify the date you want the first systematic withdrawal payment to be electronically deposited into your bank (allow 3-5 business days for processing).
• All subsequent systematic withdrawal payments will be processed on the same business day. However, if the date falls on a weekend or holiday, the payment will be processed the next business day.
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 122002 / 04/28/2017
Annuity Commencement Date Option Selection
· Annuity Commencement Date Options – Added Co-Annuitant Name ___ and SSN/TIN ___ field under the Joint Lifetime Options.
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account.
· Required Minimum Distribution (RMD) – Added Options for distributing the RMD. Added Tax Withholding options for the RMD. / 148506 / 04/28/2017
Annuity Option Selection – Maximum Deferment
· Annuity Commencement Date Options – Added Co-Annuitant Name ___ and SSN/TIN ___ fields under the Joint Lifetime Options and Spouse or Non-Spouse check boxes.
· Required Minimum Distribution (RMD) – Added Options for distributing the RMD. Added Tax Withholding options for the RMD. / 148507 / 04/28/2017
Redirection of Annuity Payments
· Contract Owner Information – Added Resident state for tax purposes _____ field. / 148300 / 04/28/2017
Request for Withdrawal- Supplemental Interest Bearing Accounts
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 153916 / 04/28/2017
Election for A Series of Substantially Equal Payments
· Contract Owner Information – Added Resident state for tax purposes ___ field. / 119689 / 04/28/2017
Electronic Funds (EFT) Authorization
· The ABA Routing #, Checking/Savings Account # and Account Holder are now required fields.
· Added the following:
Allow 3-5 business days for the distribution to be electronically deposited into your bank account.
EFT will not deposit to a third party account.
EFT cannot be made outside of the U.S. / 135326 / 04/28/2017
Qualified Domestic Relations Order Non-ERISA/ERISA
· Updated the verbiage on the form for consistency. / 150032 / 04/28/2017
Qualified Domestic Relations Order (QDRO) Certification Request-403(b) Tax Sheltered Annuity
· Updated the verbiage on the form for consistency. / 152193 / 04/28/2017
Domestic Relations Order (DRO) Issued in Conjunction with IRA and Non-Qualified Annuities
· Updated the verbiage on the form for consistency. / 151465 / 04/28/2017
457(b) Deferred Compensation Plan Withdrawal Request
· Withdrawal Charge/Market Value Adjustment Acknowledgement section has been added. (Prior to processing your request, we require written acknowledgement of any withdrawal charges and/or market value adjustment of $500 or more. If not provided, your request will be returned for completion and resubmission.)
· WITHDRAWAL TYPE – Updated to clarify and/or add missing IRS portability options,
· Required Minimum Distribution (RMD) section has been added.
· Electronic Fund Transfer – Added Allow 3-5 business days for the distribution to be electronically deposited into your bank account. / 115024 / 04/28/2017
Coming Attractions
There are no Coming Attractions at this time. Stay tuned for updates as they become available.
For agent/registered representative use only. Not for public distribution.
Annuities are issued by ReliaStar Life Insurance Company (Minneapolis, MN). Variable annuities are distributed by Voya Financial Partners LLC, (Member SIPC). Both are members of the Voya® family of companies.
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