Expert: Shirley McAllister, CPP, PHR - 7/8/2011

Question
When I was terminated from my position, I was told that my 401K was $17,295.06.  After trying to get these funds released for five months, I only received $8,000. The company said it was because of a mathematical error.

Do you have any suggestions where I can go with this?
Thank you,

Answer
First you need to be aware that if the employer contributes to the plan there is a vesting period to most 401K plans. You generally either need to work 4 years or 5 years to be invested in the plan 100%. That means if you do not work until you are vested 100% you will not collect all the money in the 401K plan. You will only collect the amount you are vested in.

Here is a weblink to the Department of Labor page on how to file a 401K claim.

http://www.dol.gov/ebsa/publications/Filingretirementclaim.html

The EBSA (Employee Benefits Security Administration) actually polices the 401K plans.

This website will take you to the regional EBSA office closest to you. They will be able to help with this.

http://www.dol.gov/ebsa/aboutebsa/org_chart.html#section13

Shirley