<prompt> Human: My wife changed jobs in December, leaving her employer with whom she has had a 401k for the past couple years. She contributed a couple hundred dollars per month as a Roth contribution that her employer matched at 6. We just got a letter in the mail saying that the IRS is requiring her to forfeit over 2,400 in employer contributions and she must withdraw another 2,400 due to a 415c excess annual addition or excess amount in her account. Ive been searching online and it sounds like a 415c issue would normally be triggered by overpaying into the plan for the year. However, her contributions are way below the annual maximums Im seeing online. Does anyone know what would cause this? The withdrawal isnt that big of a deal since its post-tax Roth money, but the 2,400 employer match forfeiture is pretty steep...  <response>: 401k plans also undergo testing each year. If the employer didnt offer Safe Harbor, its possible they failed testing and are being required to return funds to certain employees. Im in CA - not sure if this is true for every state, but its a likely option if she did not exceed the contribution limit. 