401k advice please

Warrior2022 · ‎05-31-2018

In April I quit my job of 18 years. I have another job which I love. However, I need to rollover my 401k. My old employer has not released to the 401k people that I no longer work there. Many phone calls have been made. It's coming up on 3 months.

The investment company told me, they were supposed to notify them within a week of my end of employment. They have contacted my old employer with no response.

Any advice please?

Big Sister · ‎05-15-2010

If you haven't done this already, compose a letter (with several copies) and send it on to Human Resources Dept. of your old company. If you have the name of the HR person, use that name.

Keep a file and log of everything you do in this matter.

Then send copies to the company you eventually want to hold your investments in the 401K.

Get the ball rolling and don't give up.

Perhaps someone else on these boards will have another idea.

Good luck.

CelticCrafter · ‎03-09-2010

Usually the administrator of the fund is listed on the paper work and they are the ones that need to sign off on it.

When my husband moved from one company to a new one and wanted to roll the 401k over, it was a classic case of pass the buck, not my job even though we knew who the person in his old office was. He worked for a small company and it was the bookkeeper that was listed as the administrator.

We finally had to have our financial advisor fax the paper work to that person in old office to get it taken care of.

Imaoldhippie · ‎06-10-2015

Sounds very suspicious to me. Hire a lawyer ASAP.

BE THE PERSON YOUR DOG THINKS YOU ARE! (unknown)

OKPrincess · ‎03-10-2013

Our financial advisor called and made the transfer for me.

Jtdmum · ‎03-17-2010

State attorney general or Banking commisioner? Secretary of State's office? Run--Don't walk. This sounds shady at best.

You don't say if you worked at a large or small company, public or private.

They should have issued a check to you directly written to you "FBO" (For the benefit of) to deposit direct to your new fund. It should have been out to you within a week of your request.

@Warrior2022 wrote:
In April I quit my job of 18 years. I have another job which I love. However, I need to rollover my 401k. My old employer has not released to the 401k people that I no longer work there. Many phone calls have been made. It's coming up on 3 months.

The investment company told me, they were supposed to notify them within a week of my end of employment. They have contacted my old employer with no response.

Any advice please?

BirkiLady · ‎02-22-2015

@Jtdmum @Warrior2022 No, you do NOT want them to issue a check. It must be rolled over or you will have to pay taxes on the money!

If you have a broker, have him/her fax the documents to the individual at your former company. Follow up within 24 hours to make sure he/she has completed all paperwork. Ask if you could pick it up at your earliest convenience and return everything to your current employer (or wherever you plan to rollover the 401K monies). A little pressure on your former employer may help them realize this is needed immediately! Be firm, but persistant. It is your 401K and, legally, you have every right to roll it over to another location in a timely manner. Best wishes.

Money screams; wealth whispers.

Financialgrl · ‎03-13-2010

@BirkiLady wrote:
@Jtdmum @Warrior2022 No, you do NOT want them to issue a check. It must be rolled over or you will have to pay taxes on the money!

If you have a broker, have him/her fax the documents to the individual at your former company. Follow up within 24 hours to make sure he/she has completed all paperwork. Ask if you could pick it up at your earliest convenience and return everything to your current employer (or wherever you plan to rollover the 401K monies). A little pressure on your former employer may help them realize this is needed immediately! Be firm, but persistant. It is your 401K and, legally, you have every right to roll it over to another location in a timely manner. Best wishes.

I agree with @BirkiLady bc I believe when you wish to rollover your 401k there is a time limit to do so. When I left a company and moved to another I had them issue a check and I took care of rolling it over bc then I knew it was being done. However, I'd not do that if I were you bc there used to be a deadline to be able to do so (see if that's still so) bc I think it was 60 days - if it's been almost 3 months, they may have already missed that deadline for you and you may have to get someone involved (someone with the power to make sure this rollover now doesn't sustain the huge tax.)

FrostyBabe1 · ‎05-09-2016

@BirkiLady wrote:
@Jtdmum @Warrior2022 No, you do NOT want them to issue a check. It must be rolled over or you will have to pay taxes on the money!

If you have a broker, have him/her fax the documents to the individual at your former company. Follow up within 24 hours to make sure he/she has completed all paperwork. Ask if you could pick it up at your earliest convenience and return everything to your current employer (or wherever you plan to rollover the 401K monies). A little pressure on your former employer may help them realize this is needed immediately! Be firm, but persistant. It is your 401K and, legally, you have every right to roll it over to another location in a timely manner. Best wishes.

Yes, they most certainly can issue a check. It's made out to whichever investment company you're sending the funds to, and noted "FBO Susie Smith". That's how I handled my own rollovers personally, and how we handled them for clients when I worked in investment management. IF the plan sponsor errs and makes the check out to the individual rather than the investment company, they have 60 days to deposit it to the rollover account without incurring penalties. Even then, the taxes and penalties can be waved if it can be shown that it was done in error.

https://www.irs.gov/retirement-plans/plan-participant-employee/rollovers-of-retirement-plan-and-ira-...

To the OP, I wish you the best in getting your 401K funds moved to wheverever you want them to be, but please, get your financial advisor involved to help you out with this rather than asking strangers on a message board. You need the RIGHT answers.

~The more someone needs to brag about how wonderful, special, successful, wealthy or important they are, the greater the likelihood that it isn't true. ~

Allegheny · ‎03-19-2010

@Warrior2022

Go on Google and find the phone number of your regional office of the US Department of Labor's Employee Benefits Security Administration. Call and ask to speak to a Benefits Advisor. They should be able to give you correct information on how to proceed or perhaps may be able to intercede for you.