---------------------------------------------- Cameron Pinder, Oct 13, 2026, 3:50 PM EDT Good afternoon Candy, Thank you for reaching out to inquire on what happens to the plan funds now that you have become termination of your plan. I put together a detailed list of what happens to the plan funds during each step of the offboarding process for you below to review: ## What happens to the money in the accounts 1. **Submit the offboarding request.** An authorized plan representative completes the Offboarding Request Form and selects **Plan Termination**. The form should be submitted at least 12 weeks before the desired termination date. Vestwell will confirm receipt and provide the next steps. 2. **Sign the termination documents.** Vestwell prepares the Plan Termination Resolution and any required plan amendment for signature. The termination date cannot be backdated. Contributions should continue through the approved termination date, and payroll deductions must be stopped after the final payroll. 3. **Provide the final information.** The sponsor must provide an accurate census through the termination date, respond to testing or correction requests, and resolve outstanding plan obligations. If the plan has a forfeiture balance, it may be applied to final plan expenses; any remaining forfeiture balance is allocated to participant accounts as required. 4. **Vestwell completes final compliance testing.** Vestwell reviews the final plan year and identifies any required additional contributions or corrective distributions. Participant distributions cannot be completed until the final census and testing are complete. 5. **Participants receive the termination notice.** Vestwell notifies participants with account balances. If a participant is not registered or does not have a usable email address, the sponsor is responsible for making sure that participant receives the notice. 6. **Participants receive distribution instructions.** After final testing and any required contributions are complete, Vestwell sends a second notice explaining how each participant can move the money. The participant generally has 30 days from that notice to submit instructions. 7. **Each participant chooses what happens to their balance.** Subject to the plan and distribution rules, the participant may generally choose one of these options: 8. **Balances without participant instructions are automatically moved to an IRA.** If Vestwell does not receive instructions by the deadline, the remaining balance is transferred to the automatic-rollover provider identified in the termination notice, where an IRA is opened in the participant’s name. The participant is then notified and receives instructions for accessing or distributing that IRA. The sponsor does not receive or select these participant balances. 9. **Vestwell completes the final filing.** After all plan assets have been distributed or transferred to IRAs, Vestwell prepares and files the final Form 5500. The plan is not fully closed until the asset distribution and final filing work are complete. ## ## Important planning points - Account values can change while assets remain invested during the wind-down period, and applicable plan or transaction fees may reduce the amount distributed. - Plan termination generally makes participant accounts fully vested as of the termination date, including amounts that were not previously vested, subject to the plan’s governing documents and the termination process. - A participant who already separated from employment may have a separate distribution eligibility path before the full plan termination. Vestwell must confirm the participant’s termination date and eligibility under the plan. The sponsor should not promise a distribution date or select the participant’s distribution option. - A cash distribution can have tax consequences. A direct rollover is generally used when the participant wants to keep the money in a retirement account. Participants should review the special tax notice and consult their tax or financial professional before choosing an option. Vestwell does not provide legal or tax advice. Sincerely, Cameron Pinder Sr. Associate, Employer Services Support Line: (917) 979-5358 Hours: M-F, 9AM-6PM Eastern Time Visit our Help Center Tell us how we’re doing by completing a short survey linked Here!  plan offered at your company. This decision is commonly driven by factors such as business closure/acquisition, low participation, financial hardship, etc. On the other hand, if you opt for deconversion, it means that the plan will remain in effect, but the assets and services will be transitioned to another provider. **Note:** If you elect to terminate your 401(k) plan, please be aware of the IRS successor plan rule, which may affect your ability to sponsor a new retirement plan. Under this rule, once a plan is fully terminated and all assets are liquidated, a plan sponsor generally must wait at least 12 months from the date of liquidation before establishing or sponsoring another qualified retirement plan. If you anticipate offering a retirement plan again within the next year, please let us know so that we can help you examine your specific situation. I have requested Cameron to contact you with specifics regarding the matter of Kelvin. Thank you, Fortunate Zwane Visit our Help Center https://support.vestwell.com/hc/en-us ---------------------------------------------- Lloyd Param, Oct 7, 2026, 7:53 PM EDT Hi Kelvin, Thank you for engaging Vestwell to support your retirement plan. I understand that you have decided to terminate and liquidate your plan. We are sad to see you go, but it will be our pleasure to help you navigate through the next steps as smoothly as possible. You may want to keep this email handy as it includes a summary of the steps that federal law requires us to take to officially terminate your retirement plan. **1. Sign an Official Resolution and Plan Amendment to Terminate Your Plan** Your decision to end your retirement plan is a fiduciary decision and it’s important to properly document it. To assist you, we will prepare a corporate Resolution and Amendment, which we will send to you within the next week by DocuSign. You will be prompted to enter the termination date (which must be today or a later date, cannot be “backdated,” and must remain consistent in the Resolution and all notices that we will be sending to your participants). Until we instruct you otherwise, please make sure that all payroll contributions continue to be deposited until the termination date and that no additional contributions are made after that date. As we explain in your services agreement, there is a $500 fee to terminate the plan that covers all of the administrative work needed to wind down your plan including, but not limited to, a final Form 5500 filing, final compliance tests, and sending termination notices. If your plan has a forfeiture balance, we will apply that balance towards the final plan invoice. If there are any remaining amounts in the forfeiture account after they are applied to payment of our fees, we will allocate that balance to participant accounts. **2. Turn Off Payroll Deductions** Please make sure you have turned off any deductions for the plan on your end and with your payroll provider after the last payroll. We will turn off any integration to our platform, but we cannot turn off the deductions in your payroll system.** ** **3. Notify Participants That Your Retirement Plan is Terminating ** As required by federal law, we will send a notice to all eligible employees and participants in your plan that the retirement plan is being terminated. If there are employees who you believe are eligible and should receive a notice that are not registered on our platform, it will be your responsibility to notify them. **4. Final Year Compliance Testing** We will need to complete a final set of compliance tests to confirm that the plan is in compliance with federal regulations before it can be terminated. Once we receive the signed plan termination amendment, we will provide you with further instruction on how to submit the information we will need to perform the applicable compliance testing. **Please be aware that you will continue to incur fees related to the plan up until the date we receive all of the information needed to complete the final compliance testing.** We will not be able to complete any participant distributions until a final census file has been provided to us and final compliance testing has been completed. **5. Participant Distributions and Second Notice** After we complete our final compliance tests, and you have made any necessary additional contributions to the plan, we will send a second notice to your eligible employees and plan participants. A plan termination requires all vested account balances to be paid and this second notice will instruct your participants how to request a distribution. They will have 30 days to do so, after which time any remaining participant balances will be distributed from the plan and an Individual Retirement Account (“IRA”) will be opened in their names so that they can avoid any early withdrawal penalties. **6. Final Form 5500 ** After all plan assets have been distributed, we will prepare and file the final Form 5500 on your behalf. This is the final step in the termination process and confirms to the government that the plan has been terminated. ** ** Please let us know if you have any other questions about the termination process. Thank you for working with Vestwell. We look forward to helping you! ---------------------------------------------- Cameron Pinder, Oct 6, 2026, 5:41 PM EDT Good afternoon Kevin & Candy, I hope you both are having a terrific Tuesday. My apologies for the delay as I was out of the office towards the end of last week. I did however receive your offboarding form and was able to submit it for processing. I will be looping in our Offboarding Team to take over and explain the next steps in this process with you. I did however want to give you a brief overview of what to expect next regarding your termination request: ## Prepare employees and participants Notify eligible employees and participants about the termination and provide any notices required for the plan. Keep participant contact information and the final census accurate so Vestwell can complete the required work and communicate next steps. ## ## Plan for the access and transaction restrictions During the 30 business days before the termination date: - Vestwell will not accept or process distribution requests, including loans and hardship withdrawals - The plan may enter a temporary blackout period while transactions and asset distributions are completed - Participant, advisor, TPA, and sponsor access to the Vestwell Platform will be terminated 30 business days before the termination date Make sure participants complete any time-sensitive actions before these restrictions begin. ## ## Review fees and outstanding balances The current Offboarding Request Form states that outstanding Vestwell fees must be paid by ACH and lists a **$750 deconversion or termination fee**. Review your plan’s service agreement and any fee communication from Vestwell for the amount applicable to your plan. ## ## Keep responding until the process is complete Respond promptly to requests for census information, signatures, testing items, participant information, and distribution or filing details. Vestwell cannot complete the termination until the required information is provided and the remaining plan obligations are resolved. If you have any additional questions in the meantime, please feel free to reach out to the Offboarding Team directly at [email protected]. Warm regards, Cameron Pinder Sr. Associate, Employer Services Support Line: (917) 979-5358 Hours: M-F, 9AM-6PM Eastern Time Visit our Help Center Tell us how we’re doing by completing a short survey linked Here!  plan with Vestwell. We sincerely appreciate the opportunity we've had to administer your plan and the trust you've placed in our company. To facilitate the offboarding process, we kindly request that you complete the attached Offboarding Request Form. Please fill it out accordingly, based on whether you intend to deconvert (transfer) or terminate the plan. This will help us ensure that your request is directed to the appropriate team. To provide some clarification, if you choose to terminate the plan, it means that there will no longer be a 401(k) plan offered at your company. This decision is commonly driven by factors such as business closure/acquisition, low participation, financial hardship, etc. On the other hand, if you opt for deconversion, it means that the plan will remain in effect, but the assets and services will be transitioned to another provider. **Note:** If you elect to terminate your 401(k) plan, please be aware of the IRS successor plan rule, which may affect your ability to sponsor a new retirement plan. Under this rule, once a plan is fully terminated and all assets are liquidated, a plan sponsor generally must wait at least 12 months from the date of liquidation before establishing or sponsoring another qualified retirement plan. If you anticipate offering a retirement plan again within the next year, please let us know so that we can help you examine your specific situation. _**Kindly note that there is a $750 termination fee associated with either type of offboarding should you decide to proceed. Terminations may take up to 60-90 days to complete from the day we receive the final census.**_ We kindly request that you complete the offboarding form linked below and confirm submission at your earliest convenience so that we can ensure a smooth and efficient process for you. Once we receive the form, a member of the Offboarding team will be in touch with the next steps in the next 3-7 business days. Offboarding Request Form Thank you, Cameron Pinder Sr. Associate, Employer Services Support Line: (917) 979-5358 Hours: M-F, 9AM-6PM Eastern Time Visit our Help Center Tell us how we’re doing by completing a short survey linked Here!  979-5358 Hours: M-F, 8AM-8PM EST Visit our Help Center Tell us how we’re doing by completing a short survey linked Here , and we are missing some information necessary to proceed. At your convenience, could you or an HR representative please provide me with Vivek Sharma's date of termination? Once confirmed, I will manually update our systems and further assist the participant on removing their funds from the plan. If you have any questions, please let me know. Thank you very much and I look forward to your response. Kindly, Alejandro Mesén Saver Services Coordinator Phone: (917) 979-5358 Hours: M-F, 8AM-8PM EST Visit our Help Center Tell us how we’re doing by completing a short survey linked Here ![alttext](https://www.vestwell.com/assets/logo-200w.png -------------------------------- This email is a service from Vestwell. [PE554L-YEW0K]