pfpelican
Recycles dryer sheets
- Joined
- Jun 21, 2006
- Messages
- 229
I have had an interesting thing happen...and it got me thinking.
I recently transferred my (enron) 401k to vanguard.
In the process, I asked them to put it into a particular fund. When they got it set up, I noticed that I'd chosen the wrong fund. I then asked them to put it into a different fund. They set that fund up too on the rollover IRA.
When the check arrived at vanguard, they put the money into BOTH funds. That's right. I got that amount TWICE.
I've since talked to reps twice and sent them a site-email. They have asked me to be patient and promised to get the $ removed from the wrong fund. This happened a couple of weeks ago, and the last contact was last week.
I know they'll get it resolved eventually...and I'll end up with the amount only once.
But I got to thinking....
what if I was over 70 and had to take RMDs by year-end. Would I take some from the duplicate amount, or not. If I did, wouldn't that be seen as theft? If I didn't take an RMD with that amount taken into account, wouldn't vanguard report to the IRS, and eventually the IRS would determine that I'd under-RMDd?
Fortunately, they have 4 years to get it right, before I have to face RMDs.
But what would you suggest to someone who faced RMDs with this situation?
I recently transferred my (enron) 401k to vanguard.
In the process, I asked them to put it into a particular fund. When they got it set up, I noticed that I'd chosen the wrong fund. I then asked them to put it into a different fund. They set that fund up too on the rollover IRA.
When the check arrived at vanguard, they put the money into BOTH funds. That's right. I got that amount TWICE.
I've since talked to reps twice and sent them a site-email. They have asked me to be patient and promised to get the $ removed from the wrong fund. This happened a couple of weeks ago, and the last contact was last week.
I know they'll get it resolved eventually...and I'll end up with the amount only once.
But I got to thinking....
what if I was over 70 and had to take RMDs by year-end. Would I take some from the duplicate amount, or not. If I did, wouldn't that be seen as theft? If I didn't take an RMD with that amount taken into account, wouldn't vanguard report to the IRS, and eventually the IRS would determine that I'd under-RMDd?
Fortunately, they have 4 years to get it right, before I have to face RMDs.
But what would you suggest to someone who faced RMDs with this situation?