Section 3. Direct Rollovers

3.1 Notwithstanding section , a direct rollover of a distribution from a Roth elective deferral account under the plan will only be made to another Roth elective deferral account under an applicable retirement plan described in § 402A(e)(1) or to a Roth IRA described in § 408A, and only to the extent the rollover is permitted under the rules of § 402(c).

3.2 Notwithstanding section , unless otherwise provided by the employer in the adoption agreement, the plan will accept a rollover contribution to a Roth elective deferral account only if it is a direct rollover from another Roth elective deferral account under an applicable retirement plan described in § 402A(e)(1) and only to the extent the rollover is permitted under the rules of § 402(c).

3.3 The plan will not provide for a direct rollover (including an automatic rollover) for distributions from a participant’s Roth elective deferral account if the amount of the distributions that are eligible rollover distributions are reasonably expected to total less than $200 during a year. In addition, any distribution from a participant’s Roth elective deferral account is not taken into account in determining whether distributions from a participant’s other accounts are reasonably expected to total less than $200 during a year. However, eligible rollover distributions from a participant’s Roth elective deferral account are taken into account in determining whether the total amount of the participant’s account balances under the plan exceeds $1,000 for purposes of mandatory distributions from the plan.

3.4 The provisions of the plan that allow a participant to elect a direct rollover of only a portion of an eligible rollover distribution but only if the amount rolled over is at least $500 is applied by treating any amount distributed from the participant’s Roth elective deferral account as a separate distribution from any amount distributed from the participant’s other accounts in the plan, even if the amounts are distributed at the same time.