Finding work can be both exciting and stressful. With so much to do when changing jobs, it’s easy to overlook dealing with a 401(k) plan from your soon-to-be former employer.
According to a study conducted by the fintech company Capitalize, there were 24.3 million forgotten 401(k) accounts worth $1.35 trillion as of May 2021, with an additional 2.8 million lost accounts added each year.
Retrieving 401(k) Plan
That money, however, has not vanished. The majority of it is still in those accounts, waiting for someone to claim it.
You can probably find your old retirement account and roll it over into a new 401(k) or an individual retirement account, depending on your former employer and the size of your account.
The state of your misguided 401(k) account depends on how much cash you have in it. If a former employee’s 401(k) account is worth less than $1,000, the company may cash it out and send a check to your mailing address.
If you’ve relocated, check with your former employer to see if a check was sent. If you are unable to contact your former employer, you must contact the new residents at your old address or search your state’s unclaimed property database.
Your former employer may transfer your funds into a new IRA if your account had a balance of $1,000 to $5,000. Contact your old company once more to learn how to access your new account.
Accounts worth more than $5,000 are still likely to be managed by your former employer’s 401(k) plan administrator.
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How To Find Old 401(k) Account?
Begin by contacting your former employer’s human resources department. Request the 401(k) plan administrator’s contact information (name, phone number, and email address), and then contact the administrator to inquire about your old account. Be persistent and patient.
It becomes more difficult if your company no longer exists. Begin by looking through your records for old 401(k) statements. If you live at the same address, you may continue to receive statements if the account is active. It becomes more difficult if you don’t live at the same address and can’t find any old statements, but don’t give up.
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