401(k) Plan - When Your Contract Ends

Chancellor customized our 401(k) plan especially for contractors by providingoptions that make the management of your 401(k) plan hassle free when your contract/employment with Chancellor ends.

You have at least three (3) options:

  1. Do nothing for now and your 401(k) monies remain invested until you decide to move them somewhere else or a contract through Chancellor starts again.
  2. Rollover the monies into another 401(k) plan from your next employer.
  3. Open a personal IRA rollover account and rollover your 401(k) monies.

Chancellor will send you an e-mail with this information and instructions you need as soon as your employment through Chancellor has ended.

This Special Tax Notice is referenced in the e-mail you will receive and provides additional information concerning your distribution.

 

If you choose option 1 then you do nothing.

If you choose option 2 then you cash out and roll over the money into the next employer's 401(k) account.

If you decide on option 3 then we recommend that you establish anindividual IRA Rollover account. Charles Schwab and Fidelity are popular choices.


Having an IRA Rollover account means that you can self-manage the account and invest in funds and individual stocks of your own choice. Over the course of your career, you can continue to roll 401(k) monies/shares into this IRA from different companies that you work for.


If you decide on option 2 or 3 then fill out the following Participant Distribution Election Form and fax it to us. Send an e-mail to anthony(at)chancellor(dot)com to verify receipt of the fax. Call if e-mail is not available.

For those who were current employees in the current calendar year, 401(k) monies/shares are distributed twice yearly and a distribution form needs to be received in our office by December 31st or by June 30th. The distribution will occur at the end of the next quarter. Please allow 2-3 weeks for processing the payment.

For those former employees who chose to leave their 401(k) monies invested in the Chancellor 401(k) Plan, distributions occur once per year and a distribution form needs to be received in our office by December 31st. The distribution will occur at the end of the next quarter. Please allow 2-3 weeks for processing the payment.

There is no loss to you because your money remains in our 401(k) plan until the actual distribution.

For general information about your 401(k) distribution: Retirement Plan Distributions


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