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401K plan administration

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E

Erisa

Guest
I worked and then quit a job at Company A, which is a subsidiary of Company B. 4 months later I accepted a job at Company C, also a subsidiary of Company B. The 401K plans are different and are administered by different companies. When I joined company C, did I forfeit my right to rollover my 401K plan from Company A to an outside IRA?
Where can I find info about this in the Code?

Thanks
 


M

msattorney

Guest
When you left Company A you should have received instructions about your 401k. Some companies allow you to keep it with them indefinitely if it is of a certain value or greater. Others give you the procedures for taking it in a lump sum or how to go about rolling it over. If you roll it over, it is important not to have the money paid out to you. It needs to go directly to the new trustee.

If you did not get this information, contact the HR dept. of Company A. Because the 401k plans are different, you may have the option of rolling it over into the new company's plan but you should not be required to. if the new company has a waiting period of emeployment before you become eligible for the 401k plan, then you will not be able to roll over into that plan.
 
E

Erisa

Guest
Sorry, I didn't explain my question well. I had the right under Company A's plan to roll the money over into an outside IRA. But when I joined Company C several months later, after the fact I was told I lost my right to roll over the money in Company A's plan (I wanted to roll it outside, not to company C) because Company A and Company C were both subsidiaries of Company B. Company A and Company C have different 401K plans managed by different companies.

 

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