How do I roll over my 401(k) benefit to a new employer’s Plan or an IRA?

When you leave HPE, you may be able to roll over your 401(k) Plan balance to an individual retirement account (IRA) or a new employer’s plan. There are two ways you can roll over your HPE 401(k) Plan benefits:

• Direct rollover. A direct rollover is a tax-deferred payment of your plan benefits directly to an IRA or another eligible employer retirement plan (for example, another employer’s 401(k) plan). The check is made payable to the custodian of your IRA or the trustee of your eligible employer retirement plan, and taxes aren’t withheld.
• Direct payment to you. This payment is paid directly to you on a taxable basis, with mandatory taxes withheld (20% for federal income taxes, plus any required state income tax withholding). The check is made payable to you, and if you wish to roll over your payment to an IRA or another eligible employer retirement plan (and defer taxes on your payment), you must do so within 60 days of receiving payment. Mandatory tax withholding will still apply, so you’ll need to make up the amount withheld for taxes, or else you’ll be subject to tax on any portion of your distribution that you don’t roll over.

What action you need to take

You can request a rollover as part of your application for 401(k) benefit payments. Access or call the HPE Retirement Service Center at Fidelity.

Additional information