"Missing" 401-k funds

[LiteTouch]

I left employment to return to school. I used my portion of the 401-k for tuition. I had to leave the employers match until retirement age. Previous employer reported the matching funds to Social Security 2 years later. The funds were reported, but no account was set up on my behalf. Are the administrators, fiduciaries responsible for making me whole?

[ESOP Guy]

Your question/comment is a bit baffling.  

Are you sure you were vested in the match?   It would be very rare to be able to take your deferrals but not allowed to take the match.   If you weren't allowed to take the match it would be way more likely you weren't vested and not entitled to it. 

How do you know they reported anything to the Social Security Administration?   They might have done so but they aren't required to tell you.  So how do you know?

Where are  you expecting this "account" to be set up?  

Do you have a copy of the Summary Plan Description (SPD) for the plan?   If so, it tells you how to make a claim for benefits.   Once you are more sure about the fact you might want to make a claim to clarify if you are indeed entitled to more money or not.  

[RatherBeGolfing]

Reporting to SSA sounds like they simply reported you as a code A on Form 8955-SSA because you had not received a distribution of all assets by the and of the year following the year of termination.  This just means that the plan still holds assets for your benefit.  Unless you receive a distribution of those assets AND the employer reports that distribution to SSA, the SSA will send you a letter at age 65 saying you may have retirement assets in the following plan(s).

[LiteTouch]

Vesting requirement was 5 years. I was employed at the firm for 7 years.

I left employment in 1989. The employer match was reported to S.S. in 1991.

The plan was moved to another account when the firm was later sold.

The remaining  funds were last reported to S.S. in 1991.

The subsequent plan was terminated in 2016. I was not contacted.

Voya was holding the investments. I contacted them & they told me that there is a record of other personal accounts from this firm, but none for me.

I asked how could this happen? The reply was that someone reported it to S.S. due to accounting processes, but the person charged with setting up the account and making the deposit diverted the funds.

Just for an added twist, the S.E.C. was involved with a person handling these accounts, as well as accounts not associated with the firm, who stole $1.2 million. 27 years in jail.

Late in 1991 a new fund was set up for all former employees & current participants. After 1991 S.S. received no further notifications from the new fund.

Per the S.E.C.,although rare, the ability to withdraw the employer match is sometimes part of the contract.

I am here seeking advice from people with experience and knowledge in this field.

Do the one persons input, I am now going to attempt to obtain a copy of the S.P.D.

The problem is that to make use of leverage entitled me by regulation to obtain the S.P.D., it will require my obtaining legal counsel. In other words, money that I do not have, in part, due to the "missing" funds.

I appreciate everyone's comments. They help me trying to find my way through this labyrinth.

 

[Kevin C]

You need to contact the Department of Labor.  You can get contact info for your regional office here:

https://www.dol.gov/agencies/ebsa/about-ebsa/about-us/regional-offices

[Bird]

I agree with Kevin C, contact the DOL.  But recognize the odds of recovery are slim to none - the plan was terminated in 2016 so there are no plan funds to get money from.  The only chance of recovery is to find a company or individual with responsbiliy and recover from that entity.  It's a long time ago and your money could have been gone long before 2016.

Some things still don't make sense, at least to me:

2 hours ago, LiteTouch said:

The reply was that someone reported it to S.S. due to accounting processes, but the person charged with setting up the account and making the deposit diverted the funds.

I find it unusual that someone would volunteer that information.  Plus it's one thing to divert money that isn't already in a plan but diverting it when it's already in is difficult, unless it went to another participant (possibly the diverter).

2 hours ago, LiteTouch said:

Per the S.E.C.,although rare, the ability to withdraw the employer match is sometimes part of the contract.

Actually it's rare if not unheard of in my world to allow a withdrawal of 401k money at termination and not matching money.

[ESOP Guy]

Add another vote to contact DOL.   That sounds like you only chance that won't cost you a lot of money on a lawyer. 

 

[LiteTouch]

I want to thank everyone for the responses to my original posting.

I have been in contact with the DOL. All I get from them is suggestions that lead nowhere.

I have tracked down the names of people who were fiduciaries for the 401-k plan.

My Question now is how to compel them to provide me with the document that describes the plan, which would provide proof that I was in fact vested in the plan.

From my research, it appears that I would need a lawyer to send a demand letter 7 to follow-up with a motion in court to compel compliance.

There is no legal-aid where i live.

Some of the people I have contacted are named as fiduciaries of the plan, but have claimed to have no knowledge. I assume this is due to a major theft that the SEC prosecuted & they have financial exposure. The fiduciaries are extremely well to do, so yeah, they have exposure. So of course they are claiming ignorance.

I am not a investment/retirement expert, I am just a retired person that is trying to recover funds that were reported a year after I left employment when the fund was rolled-over to a new plan when the firm was sold.

The employers match is what has gone "missing".

Does anyone know of anyone that acts as an advocate for someone in my situation, to help guide me through this process? I am not asking someone to do the work for me, just to advise me on how to proceed.

[ESOP Guy]

Now that I looked at the link provided about try this part of the DOL

https://www.dol.gov/agencies/ebsa/about-ebsa/ask-a-question/ask-ebsa

They literally (I am using the word correctly here)  are tasked with helping people who are not getting their benefits. 

Talking to a regional office most likely got you the run around.  

To quote the page I gave you the link above to:

We can help answer questions on issues such as:

• Lost or stolen pension or other retirement benefits