If you requested a cash distribution or outbound rollover from your 401(k), and the original estimated timeline for delivery has passed, there could be a few reasons for the delay. Oftentimes, these delays occur due to changes or adjustments we’re working on with your employer. Although the adjustments won’t necessarily impact your account directly, it can temporarily pause our ability to process distributions.
Here are several scenarios that may cause your distribution to continue to show as “Pending” and take longer than expected.
Pending corrections
There are certain scenarios that may require our Corrections team to work with your employer to resolve specific matters with the company’s overall 401(k) plan.
During this process, our team must make any necessary corrective changes within the plan before we can distribute funds to prevent additional issues.
Plan termination
If your employer is in the process of terminating the 401(k) plan with Guideline, there are certain system requirements that must be completed before we can move forward with your distribution.
As part of the termination process, our Offboarding specialists must complete an overall account review. The plan review process ensures we properly close the plan, preserve all employees’ tax benefits and prevent any negative tax consequences from occurring.
Unfortunately, Guideline is not permitted to disburse funds to any participants until this stage is complete. As soon as the account review process ends, we will proceed with your distribution.
How will I know when my funds are sent?
As soon as we are able to move forward with your distribution or rollover, you’ll receive an email confirmation notifying you that your funds have been sent.
We appreciate your patience as we work through this process as quickly as possible. Rest assured, if further information or documentation is needed to complete your request, our Customer Success team will reach out to you directly.