What is a 403(b) Volume Submitter Plan (VSP)?

What is a Volume Submitter Plan (VSP)?

A VSP is a plan document that the IRS has determined meets the requirements for a compliant plan document. Employers can adopt a VSP that has been approved by the IRS and know they can rely on the plan document being compliant. 

What are the benefits of a VSP document?

Employers who have adopted a VSP document have the assurance that by operating the plan in accordance with its terms, they are also operating in accordance with the IRS requirements for a 403(b) plan. Moreover, if the employer is ever audited, they can present the auditor with the IRS letter of approval certifying their plan is compliant, which may alleviate the need for the auditor to review the plan document.

By adopting a 403(b) preapproved plan such as a VSP, an employer can retroactively correct defects in its written plan back to the later of January 1, 2010, or the plan's effective date; however, this does not include defects related to the operation of the plan.

In addition, adopting a VSP document grants the employer access to advantageous IRS programs to correct certain errors in operating the plan. These programs are only available to plans that have received IRS approval, such as a GuideStone VSP.

What are the benefits of a GuideStone VSP document?

Current GuideStone employers that adopt the GuideStone VSP document have the following benefits:

  • The plan was developed based on the same plan document in which you have already been participating.
  • All existing plan provisions are still available in the VSP documents.
  • There is no additional cost for new VSP documents.

What should SBC Churches be doing now?

GuideStone has received an approval letter from the IRS for our VSP documents. The Church Retirement Plan VSP documents are now available in Employer Access for you to view, print and adopt.  

Non-churches and other retirement plan employers are sent VSP documents. Learn how to adopt a Volume Submitter Plan.

Note: The IRS deadline for the plan sponsor to adopt the VSP is March 31, 2020.

Learn more about the 403(b) VSP(s) with GuideStone

Was this article helpful?