The account information and transaction areas use Secure Socket Layer (SSL) encryption to ensure that your account information is not accessible to others. You are also required to enter a personal identification number (PIN) to access your specific account information. Upon accessing your account, you should change your User ID and PIN to something different. You should keep these credentials confidential.
IRS regulations prevent taking a distribution if you are still employed at the PEO or the work-site employer. Once you terminate employment, you may withdraw your vested balance.
You have two options:
Click on forgot password on login
Contact Customer Service for assistance with resetting your PIN.
Yes. You can take out a loan, if your plan allows it, or take out a hardship, if you cannot take out a loan.
If you take out a loan this means you borrow money from your 401(k) account, but you have to pay yourself back with interest. If you fail to pay back the loan, it is treated as a withdrawal and the outstanding loan balance will be subject to current income taxes as well as a 10% early withdrawal penalty.
If you cannot take out a loan, you may qualify for financial hardship. PROOF MUST BE WITHIN THE 12 MONTHS AND HAVE AMOUNT OWED CIRCLED. Deferrals are STOPPED for 6 months. It is your responsibility to start deferrals again.
According to the IRS a hardship withdrawal includes the following:
Down payment of primary residence
College tuition for you or your dependents
Unreimbursed medical expenses
Prevent eviction or foreclosure from your home
Exchange orders submitted before 4:00 PM EST will be traded the same day on a best effort basis. Exchange orders submitted by fax, mail, or via internet after 4:00 PM EST will be traded the next business day. The next business day policy is guaranteed only if the mutual fund companies and clearing broker involved settle the trade by the next business day (T+1) or if less than 2,500,000,000 shares are traded on the NASDAQ exchange on the day you place your order or on the day after. If trading volume on the NASDAQ exceeds the limit or the outside parties cannot settle the trade as specified, your order will be processed on a best efforts basis and Slavic will not be responsible for the timing, only the accuracy of your trade. This policy is not effective for John Hancock, Lincoln, or Deutsche plans and those participants will continue to make trade requests directly to those companies. The above policy is still subject to the 14 day error notification policy following the mailing of your statement. To receive compensation for any trading error, you must notify Slavic in a timely fashion to allow for correction to minimize damages, if any.
Effective immediately, all Vanguard funds, with the exception of the Money Market funds, Short-Term Federal and Short-Term Bond Index, restrict particpants from transferring out of a fund and back into the same fund within 30 days.
You will need to check your Plan ID. You can find your Plan ID on your quarterly statements. If you are a: DWS Deutsche Participant (Plan ID starts with "008"), click here. John Hancock Participant (Plan ID starts with "M"), click here. Lincoln Participant (Plan ID starts with "7"), click here. Multiple Fund Participant (Plan ID starts with "S" or "D"), click here.
Slavic401k is offering a free service to send your 401(k) balance to you by e-mail once per week. We also provide links to online information about your 401(k) plan to help your better manage your investments.
To begin receiving the 401(k) Express Email, subscribe here.
That page also includes further requirements and instructions for downloading the file and importing it into Quicken.
The maximum pre-tax contribution dollar amount is set by law and adjusted for inflation annually. The current pre-tax contribution limit is $18,000. If you are age 50 or older you may also make an additional catch-up contribution of $6,000 per year. In addition, there are special non-discrimination rules that apply to the plan. If you earn more than $120,000 a year, or own more than 5 percent of the company, contribution caps may apply for you.
The difference between the two types of investments is when you are taxed. Pre-tax contributions and earnings are taxed only when you withdraw it. Since the money that would normally be paid in taxes goes directly into the 401(k) plan, pre-tax contributions can accumulate quickly. However, if you need to withdraw money prior to age 59½ you may incur a 10% withdrawal penalty, in addition to owing current income taxes. After-tax contributions are taxed before they are invested. You are taxed on the growth and earnings in your account as you save.
Any savings is better than nothing and the sooner you get started, the better! You should maximize your company's match if one is available. Simply defer as much as you can afford to budget and take full advantage of the tax deferral.
Yes. Download our 'Rollover into Slavic/PlanRight Form' (located in Forms page) that has the require information to complete theis process.
Vanguard is well known for their low cost funds. Morningstar did a study called "Fees Matter." They found that expenses are a much better predictor of future returns than past performance. As an investor, there are three elements that you can control in the 401(k) plan: the amount of risk you can afford to take, the amount you save, and the fees of the funds you select. The passively managed S&P 500 Index has outperformed 80% of actively managed funds over a 20-year period primarily because of the low fees charged. For example, the SSgA S&P 500 Index fund in the typical Slavic401k plan costs only 0.05% to own. The Trustee of the plan elected to include many low cost funds as options for you to invest in.
By reimbursing this revenue, Slavic401k creates a "Net" Expense Ratio that achieves three important objectives:
It typically takes 60-90 days for the transfer to take place. Your account will remain fully invested until the funds are actually transferred. When the transfer takes place, you will be un-invested for a few days while the accounting and assets are reconciled and invested in the new plan.
Your PEO may have an old frozen, single employer plan that is not compatible with the new multiple employer plan. Because they are different types of plans, the regulations prevent them from being merged and the assets must remain separate. If you have a balance in both plans, you will receive two statements in separate mailings.
You cannot take a distribution or roll to an IRA while you are still employed under IRS regulations.
Your payroll service transmits your deferral contribution as fast as administratively feasible and there is always a lag between the time it is deducted and when it appears on your cash basis statement. Your payroll service must compile a complete census data file, and reconcile the accounting, in order to submit each contribution. This reconciliation takes time because the file may include thousands of employees of different employers, and must be done without error to ensure plan compliance. Once the funds and the data file are received, it takes Slavic 1 to 2 business days to process the information and send the trade to the fund companies. The fund companies have up to 3 business days to settle the trade, after which you will see your contribution on your statement via the Web.
As explained in the previous question, the compilation of the required data accompanying the contribution is a lengthy and complex process. Until this process is accomplished, your money remains with the plan sponsor. It cannot be invested until an electronic data file can be compiled and transmitted with the funds; after which the money is sent to a plan trust account at Slavic and then forwarded to the fund companies with an electronic trade file. This process usually takes one to two days at Slavic and during this period, interest does not accrue to you because trust accounts, by law, do not pay interest, nor does Slavic earn any interest on your money or remuneration of any kind. Your 401(k) plan has daily valuations and segregated accounts requiring advanced systems to provide you this information online. Your deferral is tested before it goes to the fund companies to ensure that eligibility is met, vesting is computed, and that you haven't exceeded certain deferral limits. If the Sponsor could increase the frequency of transmissions, the cost of the plan may go up because more processing time would occur; that is a cost-benefit decision that the plan sponsor determines in establishing the frequency. For these reasons, your deferrals are being invested as cost-effectively and as fast as administratively feasible.
The IRS code that governs 401(k) plans provides for hardship withdrawals only if:
Un-reimbursed medical expenses for you, your spouse, or dependents
Purchase of an employee's principal residence
Payment of college tuition and related educational costs such as room and board for the next 12 months for you, your spouse, dependents, or children who are no longer dependents
Payments necessary to prevent eviction of you from your home, or foreclosure on the mortgage of your principal residence Hardship withdrawals are subject to income tax and, if you are not at least 59½ years of age, the 10% withdrawal penalty. You do not have to pay the withdrawal amount back.
The rules governing 401(k) plans allow plans to provide loans.You must still be employed and pay the loan back within five years, although this can be extended for the primary home purchase.
Usually you are allowed to borrow up to 50% of your vested account balance to a maximum of $50,000 (set by law). Loan payments are deducted from your payroll checks. Funds obtained from a loan are not subject to income tax or the 10% early withdrawal penalty. If you should terminate your employment, you have 60 days to payoff loan.
Your distribution options are the same whether you voluntarily leave or are terminated. If your account balance is more than $5,000, you can leave your money in the plan. If you want to take your money with you, your vested account balance can be rolled into another 401(k) plan with your employer or put into an IRA. No tax penalties if rolled over. If take to self there is a 20% tax and possible 10% penalty, if you have a loan 20% tax withheld.
All 401(k) plans have fees including your old plan. Usually these fees consist of 3 parts:
The first 2 categories of fees are almost always part of the ongoing expenses paid out of the account balances of the plan. Historically, most providers have not completely disclosed these costs to the participants. So, while it may appear that your old plan had no fees, the fact is they were simply not disclosed to you. It is common practice for 401(k) plan providers to net fees against investment earnings making them difficult to monitor.
Slavic401k is proud of the fact that it has always disclosed fees as a line item dollar amount on participants statement and on the website. Your new plan is fully transparent, and in most cases, significantly less in cost compared to your old plan. Your employer selected Slavic401k, because in light of the services provided, Slavic401k is one of the most cost-efficient service providers available.
By reimbursing this revenue, Slavic401k creates a "Net" Expense Ratio that achieves three important objectives: