401k Rollover

[MDEPH289]

my employer is now union so they have created a new 401k for the union employee.the number one question is can the employees old 401k be rolled over to the new one?

[ETA Consulting LLC]

Probably not. There is no rollover of amounts to another plan when there is no 'distributable event' under the plan. Since you are still employed (and possibly not eligible for a distribution from the plan), you are not likely allowed a rollover. As far as a plan to plan transfer, we know there are mandatory disaggregation rules that apply to union and non-union plans. These rules apply to many areas of compliance (with limited exceptions). So, it is probably best to keep those amounts separated (without conducting a detailed analysis of everything that would be accounted for when those assets are commingled).

Other members would have the additional insight, but I cannot remember off-hand how Top-Heavy would be impacted in the instance of Union and Non-Union with respect to the mandatory disaggregation rules.

Good Luck!