Thread regarding Honeywell International Inc. layoffs

@3hfh+16gI2n6C If you are still employed at Honeywell you can only do a rollover or distribution of the Employer Matching part of the account.

If you are no longer at Honeywell you can do a rollover or distribution of the entire amount. If you DO roll over the 401k into an IRA and you WERE eligible for the Rule of 55 then you lose that eligibility because it only applies to a 401k and not to an IRA. You would then need to use Rule 72T for early unpenalized withdrawals.

If Honeywell were to go bankrupt your 401k is still safe. Your pension (if you have one) is a different story and that would depend on the amount of funding and the federal pension insurance.

As far as the OP's question, I know that we get to VOTE the equivalent shares and you ARE considered a shareholder, but I do not know if they count for the Class Action. Another thing to consider is if the shares where employer match shares or shares you purchased in the 401k fund yourself (where any company misrepresentation would come into play).

And so, my earlier point has been proven true. Some people are so predictable.

You can shut down a 401k at any age and roll it into a self directed.

I'm thinking that the OP's question: "I'm guessing your 401k "shares" don't count" is referring to 401k Honeywell Common Stock Fund shares being able to be part of the class action lawsuit the post refers to.

It's been my understanding over the years that the participation in Honeywell Common Stock Fund the statements always refer to "equivalent shares" and you do not actually own Honeywell Stock shares. It's a fund similar to a mutual fund that is exclusive to the stock. So, to answer the OP's question I don't believe having participated in the Honeywell Common Stock fund would make you eligible for the lawsuit.

@dto+16gI2n6C As one person said, rule 72T allows you to take 401k or IRA distributions at (I think) the RMD rate for a minimum of 5 years or until you hit 59-1/2, whichever is longer. The withdrawals are mandatory and if you screw it up the withdrawals are penalized.

If you left Honeywell in the year you turned 55 (even if you were RIF'ed before your birthday) you can withdraw from from your 401k as if you were 59 1/2. This is a special rule (nicknamed the Rule of 55) for the 401k and it does not apply to IRAs. NOTE that this is the age you were when you left, not the age you are now. Employers are not obligated to allow these pre-59 1/2 withdrawals but Honeywell appears to.

It would be worth talking to a fiduciary financial advisor for either option just to be safe.

(Why do I see this site as a small smartass? Smartass-et)
https://smartasset.com/retirement/401k-55-rule

@dto

it's sad to see down votes on a post that is stating simple facts in a non-boasting way, isn't it? The internet is full of losers who hate success, be it through hard work or dumb luck. If you're not poor and listless, you're not part of the gang. Your story and mine are very similar.

Love the company or hate it, if you didn't make a bundle of money in the 401 over time, you weren't remotely trying or were criminally inept.

Everyone else: show your true colors and hate away.

Y’all to you financial guy about a 72T to get you to the age you can access

Idk your age but if you have a 7 digit 401k and are at least in your 40s I’d cash it out while you can.

Did you get a shareholder proxy notice? Yes your shares count.

I'm one of those 2500 that took a ride from 27 to 180 and left with a severance and a 7 digit 401k.
No credit to me, just 15 percent savings rate when young, laziness, and dumb luck to get RIFd at the top of the market. I still have 10 percent in HON for the dividend.
I did not LOSE 100k though. Not that lazy.

Meanwhile... not old enough to draw my 401k yet...wondering if covid exemptions to get early access make sense.