So this morning I got an email stating that my company took 1025.53 out of my 401k on 12/31/2021 because the company messed up and started matching me before I was eligible for company matching (requires 1yr of employment)
From January 2021 to July 2021 they were matching me based on the percentage I put in. I double checked the employee handbook and it is infact a 1yr wait time before company matching
Do I have a say in this matter legally? is it legal? if it is legal then I’ll just cut my losses and move on but this just seems very unprofessional. This is my first corporate job ever so I’m still very new to everything in the corporate environment.
Thanks
EDIT: wow the replies were fast. Thank you everyone. Mistakes happen and I just wasn’t sure about everything. I appreciate everyone clarifying it for me!
Nothing illegal here. They gave you the match in error.
It’s in the rules. It was a mistake that was not supposed to happen.
[deleted]
Mistakes happen. They are allowed to take the money back. Curious if they only took back the erroneous match or also the earnings on the match. I have a feeling they only took back the match itself which means you still came out (slightly) ahead.
Don’t stress about it. Same thing with your paycheck. If they accidentally don’t withhold enough tax or pay you too much I’m sure the direct deposit agreement you signed gives them the right to reach right into your bank account and take the money back.
Mistakes happened and they reverted to written policy. Nothing nefarious or unprofessional.
Absolutely legal and I am a business owner who just had a meeting over the phone with our CPA and 401k firm about this very topic. The 401k firm ran their yearly audit on our account and we had some folks underfunded and a few overfunded. Making corrective pulls or pushes on funds is absolutely part of the process from what I have personally experienced. The 401k firm has protocols already in place to handle these situations so yes it’s completely legit and expected. The problem is that there are so many manual aspects of how 401k firms get the figures for how much to fund workers, that mistakes happen even to the best and largest employers. I believe cutoff for corrections is the 31st of January for the prior plan year. I figured I had to chime in as a business owner as there was suspicion about this process being shady but nope, it’s actually quite common.
Not related exactly, but I had a fun error 20 years ago…
When my department was moved from Employer #1 to Employer #2.1, (Employer #1 was a wholly-owned subsidiary of Employer #2) we went from being payed weekly, a week in arrears, to being paid semi-monthly, in-period. The cut-over date was January 1, so for in the beginning of 1995 (I think) I got two paychecks…one for my final week worked at Company #1 in 1994, and one for my first pay period in Company #2.1 in 1995. They were all taxed as if 1995 income.
Great.
Until late January 1996. Some Audit was run on the 401k. Checked the mail, and there was a check for all the money I’d put into the 401k in 1995 from Employer #2.1. It seems somebody saw that I got one paycheck from Employer #1, saw total contributions to my 401k in excess of what I could legally put in as if my pay from Employer #2.1 didn’t exist. Hence the refund of excess contributions.
Boy did I freak out. But… HR was able to fix it no problem, once I got the check to them.
“I’ll just cut my losses and move on but”
You had no loss. you had a incorrect gain that was corrected
It was a mistake on their part. What’s the issue.
I would say the only thing you should check on is to make sure they only took back the money they erroneously put in. It depends on a lot of agreements like the 401k plan and the handbook but I would start with the assumption that any gains realized while the money was erroneously in your account are yours to keep.
​
I may be wrong on this though so here’s your grain of salt: 🧂
It’s legal.
And yes, the original ERROR was unprofessional. Correcting it was completely professional; allowing the error to stand would be unprofessional.
HR’s professional priority is to make sure that the company rules are followed evenly among all employees. To allow you to keep the money would be unfair to other new employees who were not given matching funds.
Yes, an employer can take back stuff like this. Even if they sent you an extra paycheck on accident they could withdraw it from your account.
>This is my first corporate job ever
Ya, lets start out by suing your employer because they took back money that you weren’t owed in the first place.
You may find these links helpful:
– [401(k) Fund Selection Guide](/r/personalfinance/wiki/401k_funds)
– [401(k) FAQs](/r/personalfinance/wiki/401k)
– [“How to handle $”](/r/personalfinance/wiki/commontopics)
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*
If they made the error they can take it back so long as enough time hasn’t passed to correct it, usually a couple years or so (statue of limitations).
Great Article. we all know Facebook.com ads suck and google.com adwords suck. Get your B2B Leads direct from http://www.datatoleads.com. Automate your calling your leads and watch your phone ring.
great article . check out datatoleas.com
I wanted to thank you for this excellent read!! I absolutely loved every bit of it. I’ve got you book-marked to look at new things you post…
This is a topic that is close to my heart… Cheers! Exactly where are your contact details though?
It’s great to see so many more people aware of how many potentially harmful germs are out there around us. Before the pandemic, it was a very niche thing but now, there are so many devices that helps us fighting that.
gay phone chat
free gay chat lines los angeles
gay web cam chat room
snap chat gay solo
gay chat roulette
gay male cam chat
best essay writing service website
essay paper help
rutgers essay help
essay writing help for high school students
essay service
someone write my essay
write my essay online
help in essay writing
college essay help long island
best essay services
affordable essay writing service
essay editing services
essay service cheap
someone to write my essay
scholarship essay writing help
review of essay writing services
online custom essays
essay writers cheap
what is the best online essay writing service
who can i pay to write my essay
best writing services
essay help forum
essay writing services usa
academic essay writing service
help writing a essay
admission essay help
essay community service
essay writer cheap
cheap custom essay papers
service essays
essay writer website
writing essays custom
write my essay custom writing
college essay writers
what is the best custom essay writing service
essay about helping others
best mba essay writing service
cheap custom essay writing services
help write an essay
i need help writing my essay
help me with my essay
buy custom essay online
admission essay help
custom essay writing online
law school essay editing service
i need help writing a descriptive essay
where can i buy essays online
persuasive essay writer
mba essay services
essay writing service best
english essay writers
buy cheap essay
essay writing company
help me write my college essay
best custom essay writing services
what are good essay writing services
essay writers for pay
best essay websites
essay help chat room
help with essays
college essay writing service reviews
write my essay wikipedia
service essay
Health Insurance Sales Leads, Life Insurance Sales Leads, Insurance Leads from https://www.datatoleads.com -/
professional custom essays
best essay for you
essay writers online
writing essays services
essay writer cheap
buy custom essays
essay writing service ratings
help me write a compare and contrast essay
i need help with my college essay
custom essays service
essay writers review
college admission essay service
essay help live chat
romeo and juliet essay help
help me essay
buy an essay cheap
best college essay writing services
essay paper writing help
college essay services
essay writer cheap
write my college essay me
websites for essay writing
essay writing service law school
custom admission essay
website for essay writing
do my essay for cheap
custom essay toronto
coursework history
coursework planner
coursework in english
دانستنی های کشور کانادا و اخبار
جدید هنرهای تجسمی و اخبار فرهنگی هنری
شعر و عمو نوروز چه خبرهایی می دهد و اخبار فرهنگی
مجلس و خبرهای تازه گنبد کاووس
https://bookmark-master.com/story13529544/دانستنی-های-طلا
Have you ever considered about adding a little bit more than just
your articles? I mean, what you say is important and everything.
But just imagine if you added some great images
or videos to give your posts more, “pop”! Your content
is excellent but with images and video clips, this website could undeniably be one of the greatest in its field.
Wonderful blog!
You actually reported this adequately.
buy essay paper online pay to do my essay
Wow many of excellent tips.
what should i do with my life essay do my essay now essay writers online cheap
Excellent write ups. Thank you.
write my essay help write my essays online who can i pay to write my paper for me
Regards! Ample forum posts.
drake online casino best online casino california hollywood casino pa online