The corparation that I worked for has filed chapter 11.How will this effect my pension and 401k that I still have with them.thank you AL
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The corparation that I worked for has filed chapter 11.How will this effect my pension and 401k that I still have with them.thank you AL
Asked on May 29, 2009 under Bankruptcy Law, Massachusetts
Answers:
B. B., Member, New Jersey Bar / FreeAdvice Contributing Attorney
Answered 15 years ago | Contributor
This depends on quite a few things, most importantly if the corporation's debts can be satisfied out of other assets. Your 401k should be in a separate trust, and not affected, and if the pension is a "qualified plan" under the Internal Revenue Code, there are a number of protections you may have. Without knowing more about the company, and your retirement plans, I can't be much more specific.
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