jjquantz
Full time employment: Posting here.
OK, here's the situation:
1) My pay stub shows that I am on track to have $23K in 401K contributions withheld for this year with the last contribution coming in this month's pay check (my last).
2) However, after the August contribution was processed, my 401K account shows $24.125K worth of my contributions. It also shows the employer's contribution separately, so this is not a confusion of the match with my contribution.
3) This discrepancy first appeared in the May pay period and seems to have resulted from the change I made in my monthly contribution starting then. At that time I reduced my monthly contribution to $1500 from $4000. Somehow the processing of the paycheck reflected this but the contribution to Fidelity did not. Subsequent months have been correct.
4) I drew my employer's attention to this discrepancy when it first occurred in May. I clearly stated that I wanted my 401K contribution to total $23K for the entire year. I further stated that the best way to do this MIGHT be to reduce the contribution to the 401K account in future months to compensate for the excess contribution in May. Apparently the part-time financial manager we hired wasn't able to figure out how to remedy this and, other than noting the receipt of the email with that suggestion, did nothing.
So, in short, if I were to do nothing, at the end of the year my W2 would show $23K in 401K contributions, but my 401K account statement would show $25.5K in contributions. I am pretty sure that this could cause me some difficulties.
What is my best course of action? I plan on calling Fidelity today and then contact my (soon-to-be former) employer. Given the lack of financial competence in the organization, I will need to present them with a step-by-step solution that is fool-proof.
1) My pay stub shows that I am on track to have $23K in 401K contributions withheld for this year with the last contribution coming in this month's pay check (my last).
2) However, after the August contribution was processed, my 401K account shows $24.125K worth of my contributions. It also shows the employer's contribution separately, so this is not a confusion of the match with my contribution.
3) This discrepancy first appeared in the May pay period and seems to have resulted from the change I made in my monthly contribution starting then. At that time I reduced my monthly contribution to $1500 from $4000. Somehow the processing of the paycheck reflected this but the contribution to Fidelity did not. Subsequent months have been correct.
4) I drew my employer's attention to this discrepancy when it first occurred in May. I clearly stated that I wanted my 401K contribution to total $23K for the entire year. I further stated that the best way to do this MIGHT be to reduce the contribution to the 401K account in future months to compensate for the excess contribution in May. Apparently the part-time financial manager we hired wasn't able to figure out how to remedy this and, other than noting the receipt of the email with that suggestion, did nothing.
So, in short, if I were to do nothing, at the end of the year my W2 would show $23K in 401K contributions, but my 401K account statement would show $25.5K in contributions. I am pretty sure that this could cause me some difficulties.
What is my best course of action? I plan on calling Fidelity today and then contact my (soon-to-be former) employer. Given the lack of financial competence in the organization, I will need to present them with a step-by-step solution that is fool-proof.