Q: Can my company pay me my 401k balance via extra hours worked on my checks?
For 1 year I got 60-90hrs extra on each check I figured it was them paying out stocks do to the company being sold and changing from employee owned to non, I just got a letter that states my 10k I had in my 401k is now at 0.00 this is the first mention of my 401k I have received
Lawyers, want to be a Justia Connect Pro too? Learn more ›
- (916) 704-3009
- View Profile
- Answered
A:
In addressing your question, it's important to understand that 401(k) plans are subject to specific regulations under the Employee Retirement Income Security Act (ERISA). Generally, these plans are not designed to be paid out through extra hours worked or through your regular paychecks. Such payouts typically occur upon retirement, termination of employment, or under other specific circumstances outlined in the plan.
The situation you described, where your 401(k) balance has dropped to zero following the company's change in ownership, raises concerns. It's crucial to inquire with your employer or the plan administrator about the details of this change. They should provide you with a summary plan description and an explanation of any transactions that affected your account balance.
If you believe there has been a mismanagement of your 401(k) funds or any violation of ERISA regulations, you may consider consulting with an attorney who has expertise in employment or retirement plan law. They can help you understand your rights and guide you through the process of addressing any potential legal issues. Additionally, you can contact the U.S. Department of Labor's Employee Benefits Security Administration, which oversees ERISA compliance, for further assistance.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
