NU Online News Service, Feb. 25, 2:58 p.m. – The American Society of Pension Actuaries, Arlington, Va., says a survey of 250 firms that run 85,000 employee-directed retirement plans suggest that 401(k) plans experience “lockdowns” roughly once every four years.
The average duration tends to be three weeks to four weeks, but lockdowns at smaller plans can last two months or longer, ASPA says.
A lockdown period is required when an employer changes its pension plan service provider. During the transition, plan participants cannot make changes to their pension plan accounts.