401(k) Pension Plan SDBA Platform Will Transition to Schwab

NRECA utilizes TD Ameritrade’s self-directed brokerage account (SDBA) platform for member cooperatives in the 401(k) Pension Plan that offer the SDBA option. This option gives more experienced investors access to a much larger universe of investment options.

With the acquisition of TD Ameritrade by Charles Schwab, all SDBAs held by 401(k) Plan participants will transition to the Schwab platform starting September 1, 2023. As a result of this transition, 401(k) Plan participants will continue to enjoy access to a best-in-class SDBA platform. They will be able to access their SDBAs via the Employee Benefits website or the Schwab site and app.

In preparation for the transition, starting in mid-June, Schwab will begin mailing communications to 401(k) Plan participants with SDBAs, letting them know about the overall transition process and timing, how to access their Schwab accounts after the transition and other details. Participants can opt out of the transition by closing their brokerage account.

Benefits administrators whose participants have SDBAs in the 401(k) Plan will receive an email next week with more information. NRECA will also mail existing SDBA holders a letter at the end of May, to let them know about the pending change and forthcoming Schwab communications. More details about the transition will be shared this summer. If you have questions in the meantime, please contact the Member Contact Center at 866.673.2299 or contactcenter@nreca.coop.