Why Did I Receive a Letter from PSN?
If you participated in a 401(k) plan with your previous employer and left behind an account balance of less than $5,000 (increasing to $7,000 effective 12/31/23) in a plan that is part of the Portability Services Network (PSN) and subject to auto portability, you may receive a letter from PSN with important information.
- Your former employer has elected to adopt auto portability, a unique and valuable plan feature which applies to participants whose retirement balances were less than the applicable balance threshold and that were left in-plan (or in some cases, automatically rolled over to a safe harbor IRA) following separation from the company.
- Auto portability has searched other employer retirement plans in the Portability Services Network (PSN), in order to locate your current employer's active plan, where your retirement savings from your former employer could be automatically transferred, unless you elect to opt-out of the program.
- If PSN has located your active plan account at a current employer, and we believe we have found a "match" we will initiate communication to 1) confirm your identity and/or 2) request your consent to transfer the balance into your current employer's plan.
- If you do not respond to the consent request, your balance may be automatically transferred to your current employer's retirement savings plan.
- If your balance is automatically transferred, you should receive confirmation of the transfer via mail.