403(b): Taking a month+ to arrive at Vanguard - Normal?
- Littlefinger
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403(b): Taking a month+ to arrive at Vanguard - Normal?
I just started a 403(b) with a new company and my contribution on 9/2/11 still has not reached Vanguard. Come next week I will receive my 3rd check and I'm beginning to worry a little. I called my employer and they said the checks had been sent to the intermediary who then sends them to Vanguard so in theory this may all work out next week.
As someone who is new to contributing to a 403(b), I was wondering if this length of time (4 weeks) is typical for a contribution to reach Vanguard.
As someone who is new to contributing to a 403(b), I was wondering if this length of time (4 weeks) is typical for a contribution to reach Vanguard.
Re: 403(b): Taking a month+ to arrive at Vanguard - Normal?
No, it is not the norm. Your district may be "sitting" on the money and sending in two deposits at a time. It has been known to happen.Littlefinger wrote:I just started a 403(b) with a new company and my contribution on 9/2/11 still has not reached Vanguard. Come next week I will receive my 3rd check and I'm beginning to worry a little. I called my employer and they said the checks had been sent to the intermediary who then sends them to Vanguard so in theory this may all work out next week.
As someone who is new to contributing to a 403(b), I was wondering if this length of time (4 weeks) is typical for a contribution to reach Vanguard.
Someone correct me, but isn't there a time line in turning in the monies? Also, ask Vanguard if they know what is going on.
OP: You may want to ask this question over on www.403bwise.com. Lots of great info there.
LynnC
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- Littlefinger
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Just as an update, the money arrived after 1 month, 2 days. Apparently this is just the norm. They didn't bundle two payments together or have any problems forwarding information to the TPA.
I can't say I'm happy with so long a wait period but since I have no choice in the matter, there's not much I can do. Thank you to everyone for the help and advice.
I can't say I'm happy with so long a wait period but since I have no choice in the matter, there's not much I can do. Thank you to everyone for the help and advice.
Sure this is plenty you can do. You can take it to your association or the school or the TPA. There is a law in place to prevent these types of things.Littlefinger wrote:Just as an update, the money arrived after 1 month, 2 days. Apparently this is just the norm. They didn't bundle two payments together or have any problems forwarding information to the TPA.
I can't say I'm happy with so long a wait period but since I have no choice in the matter, there's not much I can do. Thank you to everyone for the help and advice.
Did you go to 403bwise.com with your concerns? Many good answers there. It is NOT the norm. It USED to be the norm until teachers wised up.
LynnC
The actual requirement for an ERISA plan is what is reasonable but in no event later than the 15th of the month following the month of the contributions.
THis means that a 9/2 paycheck could have a long period of up to 43 days without constituting a violation that could produce a fine. Your later Sept deferral should get there in must less time, in fact the 9/30 check only has 15 days before it must be credited to the plan.
Not all 403b plans are ERISA plans. If not, then the above deadline might not apply.
THis means that a 9/2 paycheck could have a long period of up to 43 days without constituting a violation that could produce a fine. Your later Sept deferral should get there in must less time, in fact the 9/30 check only has 15 days before it must be credited to the plan.
Not all 403b plans are ERISA plans. If not, then the above deadline might not apply.
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I'd assume my 403b is an ERISA plan, but how do I really know?Alan S. wrote:The actual requirement for an ERISA plan is what is reasonable but in no event later than the 15th of the month following the month of the contributions.
THis means that a 9/2 paycheck could have a long period of up to 43 days without constituting a violation that could produce a fine. Your later Sept deferral should get there in must less time, in fact the 9/30 check only has 15 days before it must be credited to the plan.
Not all 403b plans are ERISA plans. If not, then the above deadline might not apply.
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- Littlefinger
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- Joined: Tue Aug 02, 2011 11:25 am
Re: 403(b): Taking a month+ to arrive at Vanguard - Normal?
Finally figured it out. They "forgot" or just plain didn't send my first deduction to vanguard so everything lagged behind by 2 weeks. So now I am going to have a $1000+ contribution that should have gone in in September go in sometime in February when the market is up 10+%. Awesome.