Several articles in the mainstream financial media are referring to the portability of lifetime income options under Sec. 109 of SECURE as being mandatory, but I am not sure that is accurate.

Sec. 109 states that “a trust forming part of a defined contribution plan shall not be treated as failing to constitute a qualified trust” if it allows participants to direct a trustee-to-trustee transfer to an IRA if a lifetime income investment is removed from the plan.

I read that as being optional. It doesn’t read that the plan *has* to allow the direct transfer out. Rather, it reads as an assurance that the plan will not be deemed to have broken any distribution rules *if it so chooses* to allow the direct transfer option.

But again, I see articles stating that the plan *must* allow the transfer. Am I missing something? Which is the correct interpretation?

Please and thanks,