Find Your Lost 401(k) and Add to Your Retirement
Wondering if you have a forgotten retirement account from a past job? You can find your lost 401K with a little legwork. And with the help of a relatively new federal database.
Do You Have a Forgotten Retirement Fund?
According to a recent report, there are nearly 32 million accounts that have been left behind. These neglected accounts hold an average of $66,691 each, totaling up to $2.1 trillion in forgotten assets. More than 53 percent of US workers participate in 401(k) savings plans. And due to job switches and layoffs, the number of lost retirement accounts has more than doubled in the past decade.
How to Find Your Lost 401(k)
To find your lost 401(k) account, you can start by contacting your old employer(s). They can tell you who administers the company’s 401(k) plan and how to access your account.
But what if that company doesn’t exist anymore? Fortunately, there is another option. The recently crated US Department of Labor’s Retirement Savings Lost and Found Database[https://lostandfound.dol.gov/] is a great place to start. You’ll want to have your Social Security number, the name of the company you worked for, and the dates you worked for that employer to help with the search.
Another option is the National Registry of Unclaimed Retirement Benefits[https://www.unclaimedretirementbenefits.com/home], run by PenChecks Trust (a retirement plan distributions company).
What Do You Do Once You Find Your Lost 401(k)?
Once you find your lost 401(k), you basically have four options. You can leave the funds where they are. You can roll it over into an individual retirement account (IRA). You can roll it over into your new employer’s 401(k) plan. Or you can cash out the funds in your account.
Each of these options has pros and cons. It’s a good idea to check with a financial adviser to talk about what might be best for you. And check with your accountant to find out tax consequences.
Links
What other assets are out there that you may have forgotten about? Check the Washington State Department of Revenue’s Unclaimed Property website.
Lastly, you can learn more about our services here!
Recent Comments