Lost 401(k) recovery

[nschindler]

Hello,

My fiance used to work for a large corporation who managed their own retirement plans. She left in '99. They then switched to a large financial firm for 401(k) management, and a 401(k) that she forgot about (but worth effort to find) was lost in the process. Fortunately, she does have a statement with an account number and balances from around the time she left.
She's already made initial contact with both companies without luck. Searching government unclaimed property databases also yields no results.
She knows she dropped the ball, but we assume one of these two companies is ultimately responsible for the lost plan and can be made to produce records.
Could you please advise me on which company we should focus our efforts on and what our next steps should be if we don't make any progress? I do know that contacting the department of labor is an option, but any other suggestions would be much appreciated.

Thanks,
Nate

 

[army judge]

Hello,

My fiance used to work for a large corporation who managed their own retirement plans. She left in '99. They then switched to a large financial firm for 401(k) management, and a 401(k) that she forgot about (but worth effort to find) was lost in the process. Fortunately, she does have a statement with an account number and balances from around the time she left.
She's already made initial contact with both companies without luck. Searching government unclaimed property databases also yields no results.
She knows she dropped the ball, but we assume one of these two companies is ultimately responsible for the lost plan and can be made to produce records.
Could you please advise me on which company we should focus our efforts on and what our next steps should be if we don't make any progress? I do know that contacting the department of labor is an option, but any other suggestions would be much appreciated.

Thanks,
Nate

How long did she participate in the 401K plan?
How much does she think she had in the account that was vested or that she had contributed?

If the amount is small (less than $10 k), she may never see it.
If she wasn't HIGHLY compensated (6 figure income) and put fewer than five years on teh job, there won't be very much in that account.
It takes years for employer matching contributions to vest.
It takes LOTS of money (high interest rates and time) for money to become wealth.
It is almost like creating a FINE wine.

If all of the above conditions weren't met and she failed to claim the finds, they may have reverted to the common investment pool.
If its out there, she'll receive it.

I received a 401K payout from a short term position I left more than 15 years ago in 2007.
They found me, and sent me a check for about $12,000.
Trust me, they will protect your assets, and when they find you, they'll forward you your funds.

 

[nschindler]

Thanks for the response!
She participated for about 4 years and was 100% vested, according to the statement she has.
The balance was only $7,726.45, so I guess she may be out of luck in the end if it went back to a common pool.
I don't know how the investment elections (the "market" ties) work after leaving a company, either; For example, would they still be active and able to gain or lose money based on market fluctuation? Or once you leave do they just turn the whole thing into "cash"? It was $7k in '99, but IF it remained active, then the amount could be different now.

 

[army judge]

Thanks for the response!
She participated for about 4 years and was 100% vested, according to the statement she has.
The balance was only $7,726.45, so I guess she may be out of luck in the end if it went back to a common pool.
I don't know how the investment elections (the "market" ties) work after leaving a company, either; For example, would they still be active and able to gain or lose money based on market fluctuation? Or once you leave do they just turn the whole thing into "cash"? It was $7k in '99, but IF it remained active, then the amount could be different now.

She should keep searching.

If it vested, then something should be left.

The amount she held continues to apportioned as per her directives.

It could make or lose money, as is the way of the market.

With the recent financial tsunamis across Wall Street, who knows if it appreciated or depreciated????? :dunno:

One thing we do know, it will be more or less than the 7K she remembers. :yes:

She just needs to find out what firm the funds were transferred to after the corporate changes were effected.

It will never show up as abandoned or unclaimed.

The brokerage and the company had a fiduciary duty to protect her investments in accordance with market risks! :yes:

 

[nschindler]

Thanks. No need for a response unless I'm wrong, but I assume this means she should spend her time talking to the company her funds were transferred TO, and fortunately we do know who it is.

VERY much appreciated,
Nate

 

[army judge]

Thanks. No need for a response unless I'm wrong, but I assume this means she should spend her time talking to the company her funds were transferred TO, and fortunately we do know who it is.

VERY much appreciated,
Nate

I'd communicate with them and her former employer.