Talking stocks, trading, and investing in general

[lawyerdad]

The plan administrator will know to stop deducting once you hit the contribution limit? If so, then that's really good to know.

At every job I’ve ever had with a 401k or equivalent they administrator has done this.

 

[gettoasty]

Depends on the admin but yes it should auto stop if the record keeper/investment service provider is robust. You may still receive a notice to give you a heads up to make adjustments.

 

[imatlas]

My plan is by % only. I do find it a PITA when it's bonus time. I'm already past the 80% mark for maxing out my 401K for the year because I got a big bonus in March and I'd forgotten to adjust my deduction in anticipation. I lowered the contribution amount to spread the reset through the remainder of the year.

 

[patrickBOOTH]

My Company doesn't take 401k monies out of our bonuses.

 

[imatlas]

Huh. I wonder if that's something I can request. It would make things a lot easier.

 

[Piobaire]

I think most of this stuff is automated through the payroll software. I mean they always know when to stop deducting SS too, right?

 

[Texasmade]

I think most of this stuff is automated through the payroll software. I mean they always know when to stop deducting SS too, right?

Well I know they stop deducting on SS but other items outside of standard pay, the Compensation and Benefits department has struggled. I know they remitted employer contributions late for several pay periods and caused me to miss out on quite a bit of market upswings. They also don't review bonus listings at YE to turn on bonus accruals for the next year for new employees. I'm constantly monitoring these things for them when I don't sit in Payroll or C&B.

 

[patrickBOOTH]

My Company has severely screwed up withholdings for people and such over the years. I wouldn't trust whatever system it is they have going.

 

[otc]

My company warns you to change your deduction by X date if you don't want it coming out of your bonus. But I think they also warn that that means it will probably also not be deducted from a paycheck.

I just say ******* and let it pull from the bonus. More time in the market for the investments, less work for me, and just makes the big "year end" paychecks start sooner.

 

[Piobaire]

Tallied up the accounts for the week. Tariff Man is totally winning the market.

 

[UnFacconable]

Speaking of 401(k)s - I stopped contributing to mine about a month ago once I knew I was going to a company that offers a match but I hope they are able to let me contribute an exact dollar amount and then cut it off so that I don’t go over for the year. I think I was about 2/3 of the way to the max when I cut it off.

Maybe I can get a refund from my old company’s 401(k) so I can do more with the new company and actually max out my match this year.

 

[Piobaire]

UnF, did you check and see if there's an exclusion period for new hires that might prevent this? New hires at my place don't contribute until after 90 days and the match doubles on their first anniversary.

 

[UnFacconable]

Yes I’ve read the plan so no issues there. It’s a safe harbor plan so I don’t have to worry about annual testing either which is something I had to deal with that at my current job (both as an HCE who had to deal with a forced withdrawal and as a member of the 401(k) comm).

The plan is through Guideline which I've heard has some administrative limitations so I'm not yet sure if I'm going to roll all of my 401(k)s and Trad IRA's into. The benefits of doing so would be opening up backdoor Roth again since that has been closed off to me for the last few years. Unfortunately the plan doesn't allow for the mega which has become popular lately. I will see if I can get that going at some point.

 

[brokencycle]

UnF, did you check and see if there's an exclusion period for new hires that might prevent this? New hires at my place don't contribute until after 90 days and the match doubles on their first anniversary.

That seems like a ****** policy.

 

[Piobaire]

That seems like a ****** policy.

Maybe for the labour pool in your industry but for the labour pool in mine? A labour pool with about 50% turnover in the first 90 days and about 100% in the first year?