My wife changed jobs in December, leaving her employer with whom she has had a 401k for the past couple years. She contributed a couple hundred dollars per month (as a Roth contribution) that her employer matched at 6%. We just got a letter in the mail saying that the IRS is requiring her to forfeit over $2,400 in employer contributions and she must withdraw another $2,400 due to "a 415(c) excess annual addition or excess amount" in her account. I've been searching online and it sounds like a 415(c) issue would normally be triggered by overpaying into the plan for the year. However, her contributions are way below the annual maximums I'm seeing online. Does anyone know what would cause this? The withdrawal isn't that big of a deal since it's post-tax Roth money, but the $2,400 employer match forfeiture is pretty steep...
Submitted May 22, 2017 at 08:28PM by youtellmedothings http://ift.tt/2rbbmHn
