Old Job 401(k) & 401(k) Discrimination Testing

[jackb1117]

Each time I have changed jobs in the past I have almost immediately rolled my 401k into an IRA or left it with the employer if the plan was low-cost / had the fund options I wanted.

Recently, I started a new job and do not want to leave my old 401(k) balance with the old 401k provider (high fees, poor offering / services, etc.), and as such would like to move it to Fidelity or Vanguard ASAP. However, I was considered a Highly Compensated Employee at this organization and we failed the IRS discrimination test each year (5+) I was employed there, so each year a check was cut to refund some of my contributions.

I am curious if anyone has been through this before; my old HR team informed me that they won't know if they failed the discrimination test (they will) until EOM March. If I move my balance before this happens, am I creating a headache for myself? My preference would be to move my balance ASAP, but can wait a few months to save myself a paperwork nightmare. Thanks in advance!

[Soon2BXProgrammer]

I'd suggest waiting, it is much easier if you don't move it.

[retiredjg]

I'd wait.

[Nate79]

Definately wait.

[Spirit Rider]

Excess 401k contributions due to ADP failure are returned my 3/15.