Benefits It’s been 8 years.. what happened to my 401k?

Joined
Aug 22, 2021
Messages
1
I was with the company from 2009-August 2013. I was really young, 18 to early 20’s when I left but I’m pretty sure I remember investing in my 401k. I have no idea what the company is that they use for 401k or how to find out what would have happened to that account. Any advice on who I should call?
 
Joined
Apr 30, 2019
Messages
980
Have you moved since 2013? The Postal Service only forwards your mail for about six months.

Since 2013, Target has changed 401(k) providers. You'll need to contact TMSC to obtain the contact information for the current Target 401(k) administrator, which is Alight Financial Advisors. Because of the changeover of administrators, your specific investments will have changed. My investment broker contact explained to me that most 401(k) plans don't use retail mutual funds (those you can buy through your own brokerage account) but "UIT funds". The current "UIT funds" look like they are from State Street, not Vanguard, but they are very low cost funds.

Locating your old 401k may take a bit of time, but your account hasn't disappeared.
 
Joined
Apr 30, 2019
Messages
980
My 401k and pension went to KeyBank after 30 or so days after leaving.
I don't know if this is everybody's experience with the 401k; you must have joined Target a long time ago to be in their now-closed pension plan. I also don't know if Key was the 401k administrator back in the day.

IRS and DOL regulations allow employers to "force-out" 401k accounts which have balances under $5k. Employers cannot "force-out" larger 401k accounts. Most company 401k plans hold assets belonging to ex-employees. Employers can encourage ex-employees to rollover their 401k to a new employer's plan or to an individual retirement arrangement (IRA) at a brokerage, bank or credit union. If you as an employee choose to keep your funds in the 401k, it's absolutely imperative that you keep Target's 401k administrator informed of any changes in your address, your contact phone number, or your e-mail address.

For most ex-employees, employers can't just push your 401k into another institution without your consent. The employer must notify you by mail that you will be forced-out by a certain date, unless you contact them and provide instructions for a direct rollover.

If you don't reply to a force-out notice, you'll get a check paid out to you - but you'll now owe a big chunk of tax money to the IRS because it's taxable income AND in most cases (under age 59-1/2) you'll get a nasty "premature withdrawal" fine from the IRS. The withholding tax amount is not enough to pay all of those taxes. It's best to initiate a rollover.
 
Joined
Apr 30, 2019
Messages
980
Ooh so...I turned in my resignation Monday. If I want it rolled over to my own credit union, I had better do it soon, aye?
You should contact our 401k administrator and ask about your options. If your 401k is over a certain amount -- I think it's $5000 but this may be less -- you can keep your 401k money for the time being since you won't be "forced out". If this is an option for you, you might leave it in the 401k until you join a new company and then make a direct rollover to their 401k plan. That might also be simplest if you have many years until retirement. If you are in danger of "force out", our 401k plan and your CU should be able to advise you how to make a direct rollover --- emphasis here: you do not want the check to pass through your hands, it should go custodian-to-custodian.
 
Joined
Sep 7, 2018
Messages
88
You should contact our 401k administrator and ask about your options. If your 401k is over a certain amount -- I think it's $5000 but this may be less -- you can keep your 401k money for the time being since you won't be "forced out". If this is an option for you, you might leave it in the 401k until you join a new company and then make a direct rollover to their 401k plan. That might also be simplest if you have many years until retirement. If you are in danger of "force out", our 401k plan and your CU should be able to advise you how to make a direct rollover --- emphasis here: you do not want the check to pass through your hands, it should go custodian-to-custodian.
Thanks. I get started on a 401(k) right away at my new job so that might be helpful.
 
Top