First timer...this may be long...
I have received a letter from my company stating that over $1,000 of my '98 401K investments (equal to ~1/4 year savings!!!) will be refunded (and taxed as '99 income)due to a "Deferral percentage test/IRCS415" - please explain how my real $ savings and investments in the 401K are linked to the ESOP if I followed the plan's literature and only invested ~15%.
Also, I am 100% vested in the 401K and only 40% vested in the ESOP...if I have to return funds, why can't I return the ESOP and keep my investments working for me??? (I used the Fool calculator and determined that $1000, invested at 10%, tax free, for 35 years, produces ~$30,000 - sounds better than company stock to me!).
Thanks!