Could anyone share the experience of handling the 401k account after the layoff?
If I want to leave my 401k as it is until I find my next job, should I still need to contact Fidelity and tell them about my plan? Is there any extra service fee or restrictions for maintaining the 401k account as it is? Any suggestions would be much appreciated.
After I retired from Oracle I had access to my Fidelity account with no issues. I eventually rolled it over to be managed with my other money, and to rebalance, but the advice that you don't have to do anything right now is correct.
Be careful moving it out. Some of the Oracle options at Fidelity are highly rated with extremely low loads. Fidelity will try really hard to get you out of those; don't fall for it. Compare to your new company rates before you decide. You have time, move slowly with the body of your retirement investment.
You can leave it in the Oracle 401k indefinitely, then when you find a new job roll it into your new employers plan. The 401k is the least of your concerns right now...get that resume updated, start networking and find a new job.
Roll your 401k into an IRA at Fidelity or Vanguard. After you find a job, do not roll it back into the employers 401k. Keep control of that money so you can choose how it's invested.
If you need suggestions for how to invest the money in your IRA, start with the Bogleheads wiki: https://www.bogleheads.org/wiki/Getting_started
My lump sum rollover to NYL IRA is doing better than when It was in the oracle 401k. Even wo the match
Options:
If you have loans you need to repay them within 60 days, Fidelity will send you forms. If no loans, ignore this.
You can leave money in Oracle's Fidelity 401k account as long as you want
You can move money from #2 to an existing or newly open IRA account, Fidelity can help with this (it's fairly straightforward and they do it all the time - they have all answers)
When you find a new job, you can roll over #2 into the new employers 401k
You can ask Fidelity to cash you out, you will be liable for a 10% penalty and all cash will have to be reported as income on your 2017 tax return
You can rollover to the new company's 401k, IRA or leave it at Fidelity as long as you want.
Unless you've got something like an outstanding loan with them, I don't think there's anything you need to do for the time being. Can always do a roll-over once you start your next job with a new employer.