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dalesqlShort story, I gotta come up with about $2600 in the next 52 days in order to avoid a couple thousand bucks in penalty taxes. I'll get the money back next year in my income tax refund, but color this summer's discretionary spending pretty much gone.
There is supposed to be a lj-cut here.
I have, or rather, had a 401(k) fund from a previous job. I haven't been paying it much attention, as most of it's value was taken away by the post-911 dot-com implosion, and it had not even come close to recovering when the 2008-9 financial malfeasance gave it's value another nose-dive.
Anyway, they sent me statements every so often, I looked at them, noticed the dollar value was still fairly trivial, and filed them in my pile of financial paperwork to keep but otherwise didn't give them much thought. My current job has a 401(k) plan, and I figured I ought to roll it over into my current plan, but hadn't gotten around tuit.
last week, I get a check from the 401(k) administrator for the balance of the fund, minus about $2600 that were deducted for income tax. They decided to terminate the fund, and I presume they notified me in the statements complicated financial gobblygook that I hadn't comprehended.
So I call my current 401(k) administrator. (By the way, both plans were through the payroll company ADP, who couldn't be bothered to check to see if I had another retirement plan with them. Shitheads. ) He tells me that since I already have the disbursement check in my hand, it was too late to do a plan to plan transfer. And even though I had nothing to do with the old plan closing, it still will incur the early withdrawal penalty when tax time rolls around again. The money listed on the form as gone to state and federal income taxes is irretrievable until I file my taxes at the close of this year.
So, now the only way to avoid the early withdrawal penalty is to turn the uncashed check back into ADP, along with a personal check for all the money that ADP took out in taxes, back into ADP with my current plan's number on the balance transfer form.
Gonna be soooo much fun scraping up that cash by the 60 day deadline. Goodbye all of my plans this summer that cost anything more than pocket cash. And that new laptop I've been wanting... Hope the current one lasts until next april 15th. *sighs*
By the way. I'm growing a powerful hatred for all those financial people. If wall street money empires want another damn taxpayer bailout, I'd better see some CEOs on the gallows before I'll even consider it.
There is supposed to be a lj-cut here.
I have, or rather, had a 401(k) fund from a previous job. I haven't been paying it much attention, as most of it's value was taken away by the post-911 dot-com implosion, and it had not even come close to recovering when the 2008-9 financial malfeasance gave it's value another nose-dive.
Anyway, they sent me statements every so often, I looked at them, noticed the dollar value was still fairly trivial, and filed them in my pile of financial paperwork to keep but otherwise didn't give them much thought. My current job has a 401(k) plan, and I figured I ought to roll it over into my current plan, but hadn't gotten around tuit.
last week, I get a check from the 401(k) administrator for the balance of the fund, minus about $2600 that were deducted for income tax. They decided to terminate the fund, and I presume they notified me in the statements complicated financial gobblygook that I hadn't comprehended.
So I call my current 401(k) administrator. (By the way, both plans were through the payroll company ADP, who couldn't be bothered to check to see if I had another retirement plan with them. Shitheads. ) He tells me that since I already have the disbursement check in my hand, it was too late to do a plan to plan transfer. And even though I had nothing to do with the old plan closing, it still will incur the early withdrawal penalty when tax time rolls around again. The money listed on the form as gone to state and federal income taxes is irretrievable until I file my taxes at the close of this year.
So, now the only way to avoid the early withdrawal penalty is to turn the uncashed check back into ADP, along with a personal check for all the money that ADP took out in taxes, back into ADP with my current plan's number on the balance transfer form.
Gonna be soooo much fun scraping up that cash by the 60 day deadline. Goodbye all of my plans this summer that cost anything more than pocket cash. And that new laptop I've been wanting... Hope the current one lasts until next april 15th. *sighs*
By the way. I'm growing a powerful hatred for all those financial people. If wall street money empires want another damn taxpayer bailout, I'd better see some CEOs on the gallows before I'll even consider it.
