401k problem

[MatildaWhorl]

I live in Utah, but my former employer is in Georgia.

I have been trying to get my 401k rolled over without luck. I sent the paperwork just after Jan 1, but nothing has happened. I called a couple of times and was told that the problem is my former employee has not changed my status indicating that I I am no longer an employee. This is a very small and probably disappearing company. I resigned in June 2018, but they took until December 2018 to finally pay off some of my differed salary. All that was over before I sent in the rollover paper work.

Any suggestions as to how to get my money out will be appreciated.

 

[cbg]

We are a very large and prominent university, but every so often our software doesn't work properly either, and someone shows up as still being active when they have actually termed.

So, when you called your former employer, explained the problem and asked them to correct it, what did they say?

 

[MatildaWhorl]

Thanks for your reply.

My former employer consists of 2 part time people who are about to go out of business. I have called and been assured they would take care of it, but its not happening. I suspect it may not ever happen, and even if I could get their attention I am not sure anyone is left who would know how to fix things.

 

[FlyingRon]

Presumably the 401k is not held by the company (rarely is).

 

[Taxing Matters]

Presumably the 401k is not held by the company (rarely is).

While it is true that the 401(k) account (not 401k, 401K, 401-K, or any of the other ways I've seen it written on the internet) is likely administered by someone other than the employer, it is likely that it is the employer that needs to tell the 401(k) trustee that the OP is no longer employed. Perhaps if the OP went to the employer's office and sat there until the employee took the few minutes it would take to do it would help get this resolved.

 

[FlyingRon]

I was just commenting on the fact that the company going under shouldn't be a risk to him.

And yes 26 USC 401(k) if you want to be excessively pedantic, but people leave out the punctuation on that (and things like 501(c)(3) as well) in conversational rather than legalistic writing.

 

[Taxing Matters]

I was just commenting on the fact that the company going under shouldn't be a risk to him.

Ok, that makes sense, though I didn't see that was what you were going for.

And yes 26 USC 401(k) if you want to be excessively pedantic, but people leave out the punctuation on that (and things like 501(c)(3) as well) in conversational rather than legalistic writing.

I have no problem describing it as a 401(k) account; it's not necessary to provide the entire code reference. I think though that it's worth getting that short form right. Just because others get it wrong when writing it doesn't mean everyone else should copy them.

 

[cbg]

Tax, you'd go nuts if you worked where I do. My employees email me questions about their 401(k). We don't have a 401(k). We have a 403(b).

 

[MatildaWhorl]

Thanks for the comments. The 401k is with T Rowe Price, so I think my money is safe, I just want to roll it over.

After a couple of calls to the one guy I know left at my former employer he told me that he did try to change my status to no longer employed, but he could not because T Rowe Price says that too much was contributed to the 401k as a safe harbor match. He said he had no idea how to fix that, or what more he could do to help. He is the only person left who would have any idea what I was talking about or any interest in helping.

Why should all this concern T Rowe Price? Wouldn't any over contribution issues be between the IRS, my former employer, and myself. Is there any way around this issue that would allow me to roll the money over?

And what is left of my former employer is just 2 people part time home officeing in Atlanta, 1500 miles from my home in Utah. There is no office to go visit.

 

[FlyingRon]

I don't understand that either. THere's no "limit" to safe harbor match (unless it exceeds the total contribution limit you were allowed). I've got no idea why that affects the rollover. Frankly, I'm not sure how such is even possible. Usually the safe harbor matches are set at the MINIMUM allowable. The purpose of this is to show that all the employees are treated fairely and the plan isn't just an additional executive benefit.

 

[Dandy Don]

T. Rowe Price is the expert and you need to contact someone there to help get this straightened out and to get your questions/concerns answered.