Topic Archive: Mergers and Acquisitions

Can Employees from a Former Subsidiary Take a Distribution from our 401k Plan?

DWC | 03/12/19

Facts

Our company has several wholly-owned subsidiaries, and each of them has signed onto our 401(k) plan as participating employers.  We sold 100% of the stock of one of those subsidiaries – Glen’s Fiddich, LLC – to an unrelated company.  As a result of the sale, Glen’s Fiddich is no longer related to us and has discontinued participation in our retirement plan as of January 1, 2019. The employees of Glen’s Fiddich are now participating in the purchasing entity’s retirement plan, and a few of them are eager to roll their accounts from our plan into the new plan.

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Here's What Happens to Your 401(k) After a Company Merger or Acquisition

DWC | 07/12/18

Corporate mergers and acquisitions can be stressful. When employees hear that their company is part of such a deal, they instinctively worry about their jobs. Even with reassurances that there's no need to worry about layoffs any time soon, employees should expect changes in their benefit plans, particularly their 401(k)s or other retirement savings plans. DWC Managing Partner Keith Clark highlights these changes in this article published by Kiplinger.

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Can I Keep My Retirement Plan After I Sell My Business?

DWC | 12/12/17

Facts

I recently sold my business, and all of my employees went to work for the buyer. My goal is to continue working for a period of time, but I do not expect to hire any more employees.

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