Thanks to all. He IS fully vestedl that’s why I don’t understand. But, this employer has changed the rules so many times over the years we don’t know what the heck is going on. Good advice. We’ll check with the company who administers the plan for the company. I’m just in shock right now. Almost 1/2 our retirement that we had planned on may be gone if she is correct about the way the employer has this set up.
The money he put in 14 years ago is probably fully vested.
However the money he put in last month probably isn’t vested until 2 or more years from now. Check with the 401k plan administrator.
Sounds like you need legal advice. If there's hanky-panky going on, you may be able to get the full proceeds (to roll into an IRA) and take a bite out of their hide.
Thank you for starting this thread. I’m at 14 years at my job, too. I fully expect them to change their rules, and must seek out external retirement options. I was thinking USAA..
Best of luck to you and your Husband on this.
See if they are talking about the withdrawal penalty. Normally that and normal taxes ends up at around 50%. These taxes and penalties are not charged on a QUALIFIED rollover. I would talk to the 401(k) administrator for the specific plan.