Employees can use this article to understand what happens when checks from your Gusto Retirement account go uncashed or funds remain unclaimed — and how to prevent it.
The most common reason for uncashed checks or unclaimed funds is wrong or missing contact information.
We use the contact details from your Gusto Retirement dashboard to email important notices and send funds you request. Update your contact information even if you are no longer contributing to your account.
Uncashed checks
If you get a check from Gusto Retirement, cash it as soon as possible.
If your expected check does not arrive or has wrong information that keeps it from being cashed, we can reissue it. Contact Gusto Retirement support to request a reissue.
When an employer terminates a Gusto 401(k) plan, all assets must be distributed. Some participants may not respond to distribution requests in time. Other former employees may have old or missing contact information.
Important: Employers need to keep current and former employee information up to date in the Roster, even during the termination process.
Sometimes a check we send to a Gusto 401(k) participant or Gusto IRA saver remains uncashed. Other times, we cannot reach an account holder to send funds that legally need to be paid out. When this happens, we try to contact the account holder — and the plan sponsor when applicable — to verify personal and distribution information.
There are still times when we cannot issue a check, or when a check we send remains uncashed for more than 180 days.
If a check remains uncashed for more than 180 days — or we cannot issue a check despite our attempts — we move the funds to a secure third-party provider called PenChecks.¹
PenChecks distributes assets that belong to unresponsive or missing retirement account holders.
Once we move the funds, PenChecks automatically sets up an IRA or Taxable Savings Account (depending on the source of funds) for the unclaimed amount.²
Note: You need to send any distribution requests after the transfer directly to PenChecks. You can learn more about PenChecks and the distribution process on their website.
Take these steps to help keep your retirement funds within reach.
Make sure your mailing address and email are current in your Gusto Retirement account
Cash any checks you get from Gusto Retirement right away
Reach out to the Gusto Retirement support team if you need a check reissued
Respond promptly to distribution requests during a plan termination
¹ Gusto Retirement has an arrangement with PenChecks to establish connectivity to facilitate PenChecks’ delivery of the services. Under this arrangement, Gusto provides administrative services to PenChecks, and, in exchange, receives certain fees, which are described in an updated 408(b)(2) Fee Disclosure available in your Resource Library.
² Balances moved to PenChecks may incur fees. For more information about PenChecks, please consult their Statement of Services and Fees.