Module 2  ·  GLP Advisor Enrollment Academy

The Compliance Rules That Actually Matter

Six rules govern almost everything that can go wrong in an enrollment. Most of them exist to protect the employee, not to slow you down. Tap each rule to see what it means in practice.

Plan structure
Contribution limits
Vendor coordination
Plan Structure
Universal Availability
Every employee gets the opportunity, from day one.
Plan Structure
The Written Plan Document
GLP's contract is one piece, not the whole plan.
Vendor Coordination
Payroll Slot vs. ISA
GLP already has a slot — no extra paperwork.
Contribution Limits
The MAC Calculation
Stacking order: 15-year catch-up, then age-50.
Contribution Limits
403(b) + 457(b) Don't Combine
Employees can max out both in the same year.
Contribution Limits
The 2026 Roth Catch-Up Rule
Mandatory Roth for $150k+ FICA earners.
Tap a rule to see what it means in practice — and how it trips up new advisors.
Plan structure

Universal Availability

If a district offers a 403(b) to any employee, it must offer the opportunity to defer salary to all employees (narrow exceptions apply, like under-20-hour workers). Governmental 457(b) plans are subject to this too.
Why it matters

Every MRIC district employee is technically eligible from day one — regardless of MPSERS plan type or tenure.

Get it wrong

Assuming eligibility depends on plan type or years of service. It doesn't — it depends on employment status.

Plan structure

The Written Plan Document

Every 403(b) plan must have a single written plan document — even when funded through multiple vendors. GLP's contract is one piece of that document, not a standalone plan.
Why it matters

It governs things like loan and hardship availability, even though GLP doesn't administer those provisions directly.

Get it wrong

Treating GLP's contract as the entire plan, rather than one piece the district's document governs.

Vendor coordination

Payroll Slot vs. ISA

GLP, as an MRIC-approved vendor, already occupies a payroll slot — SRAs naming GLP go straight through. An Information Sharing Agreement (ISA) is only required when money moves from a non-approved outside vendor.
Why it matters

New enrollments essentially never need special paperwork beyond the standard SRA.

Get it wrong

Assuming extra compliance paperwork is needed for a standard enrollment. It isn't, unless money is arriving from an outside carrier.

Contribution limits

The MAC Calculation

Before approving any SRA, the TPA calculates the Maximum Allowable Contribution — base limit, age-50+ catch-up, age-60–63 super catch-up, and (403(b) only) the 15-year-of-service catch-up. Stacking order: 15-year catch-up first, then age-50.
2026 limitAmount
Base elective deferral$24,500
Age 50+ catch-up+$8,000
Age 60–63 super catch-up+$11,250
Get the stacking order backwards and you'll misquote a client's maximum contribution — a real, checkable error.
Contribution limits

403(b) + 457(b) Don't Combine

A 403(b) and a 401(k) share one combined limit. A governmental 457(b) is separate — it gets its own full limit on top, not a shared one.
Why it matters

An employee can theoretically max out both a 403(b) and a 457(b) in the same year — doubling sheltered savings capacity.

Get it wrong

Telling a client contributing to both that they need to watch a combined cap. They don't.

Contribution limits

The 2026 Roth Catch-Up Rule

Starting in 2026, SECURE 2.0 requires catch-up contributions to be made as Roth (after-tax) for anyone with prior-year FICA wages over $150,000 (indexed).
Why it matters

Rarely binds for this population today — but real for administrators and dual-income households.

Get it wrong

Not recognizing when a higher-earning client's catch-up needs to be Roth-only.

A MI school employee can max out a 403(b) and a 457(b) in the same year — doubling their sheltered savings capacity. Most employees, and some advisors, don't know this.

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