My 401(k) trust companygreenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread
Been lurking for a while - thanks everyone for all the good advice.
I looked at the web page for the company that handles my companies 401(k) investments. No mention of Y2K (they are a privately held company - no legal disclosure requirements). I called them up, and ended up talking to someone who said they were in charge of "certain projects". The conversation went like this...
ME: What is the status of your Y2K prep? HIM: We're looking into it ME: Excuse me? Looking into it?? HIM: What does your calendar say - mine says February ME: Mine says less then 11 months to do what a lot of companies are taking a couple years or more to do. This doesn't exactly give me a warm fuzzy feeling about you having my life savings. (At his point he sounded completely frazzled) HIM: OK, we have a written Y2K statement we can fax you
They faxed it, and here it is.........
Dear valued customers and partners:
(Company name)has received many inquiries on connection with the Year 2000 ("Y2K") issue. First (company name) shares your concerns about the Y2K compliance initiative. We can assure you that we have adopted a plan to have all of our software and systems Y2K compliant before March 31, 1999. Below you will find an explanation of where we stand on each component:
Hardware: Our equipment vendors assure us that all of the hardware deployed throughout (campany name) is or will be Y2K compliant by the end of1998.
Internal Software Programs: All of the software programs written internally are either Y2K compliant or are scheduled to be upgraded by the end of 1998. Any internal programs written and deployed since June 1997 have been tested for Y2K compliance.
Outside Vendors: The majority of business sytems currently in use have been certified by vedors as Y2K compliant. The remainder of the systems are currently either undergoing conversion and testing or replacement, and will be completed and in full operation by the end of the first quarter of 1999.
THE INFORMATION CONTAINED IN THIS DOCUMENT IS PROVIDED TO CUSTOMERS FOR THE SOLE PURPOSE OF ASSISTING THE PLANNING OF CONVERSION TO Y2K. (COMPANY NAME) DISCLAIMS ALL WARRANTIES, EITHER EXPRESSED OR IMPLIED. GIVEN THAT THE SUCCESSFULCOMPLETION OF OUR PLAN IS IN PART DEPENDENT ON OUTSIDE VENDORS, THE PRECEDING INFORMATION IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY, WITHOUT REPRESENTATION, WARRANTY OR GUARANTEE OF ANY KIND.THIS LETTER SUPERCEDES ANY AND ALL OTHER STATEMENTS MADE BY, OR ON BEHALF OF (COMPANY NAME).
Gee.....gives me a warm fuzzy feeling all over that my money is safe...
-- Online2Much (firstname.lastname@example.org), February 04, 1999
Don't think there is much you can do about it, except reallocate equity and fund holdings into a money market account.
Dept. of Labor has a LOT to say about 401K's -- by way of the Pension and Welfare Benefits Administration (and it's actually very informative):
A Look At 401(k) Plan Fees
Consumer Information on Pension Plans
What You Should Know About Your Pension Rights
How to File a Claim for Your Benefits
Protect Your Pension: A Quick Reference Guide
Ten Common Causes of Errors in Pension Calculation and Consumer tips for Safeguarding Your Pension
These are not 1-page sound bites, they are quite detailed reports.
-- Tom Carey (email@example.com), February 04, 1999.
You should consider the cessation of contributions until 2000 and request all investments be converted into a money market fund. Keep in mind that a money market fund IS NOT insured for loss by the FDIC.
-- (firstname.lastname@example.org), February 04, 1999.
Have you taken the maximum loan allowed? It's usually 50% of your vested amount. What's the worst that can happen? If things go ok, just pay it back a year from now.
-- I'm gonna (email@example.com), February 04, 1999.