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Ask Dave

Where is 401k if Company Goes Out of Business?

The 401k will not be affected if the company goes out of business, according to Dave.

QUESTION: A listener asks what happens to an employee’s 401-K if the company goes out of business?

ANSWER: The 401-K is your money and it goes with you even if your employer goes out of business.  However, a pension plan is an asset of the company and will be lost if the employer goes out of business.