Rollover comparison
Vanguard → Empower 401(k) rollover
If you're rolling a 401(k) FROM Vanguard TO Empower, here are the practical mechanics: what forms you'll fill out, how long it takes, whether ACATS is supported, and what specific gotchas to watch for at each custodian. This page documents the process; it does not recommend one custodian over the other.
Side-by-side
| Field | Vanguard | Empower |
|---|---|---|
| ACATS eligibility | ACATS (electronic) eligible — typical processing 3–5 business days | Paper-based transfers only — typical processing 10–14 business days |
| Processing time | 5-7 business days (ACATS); 2-3 weeks for paper | 10-14 business days (paper-based) |
| Transfer form | Move money in — Direct rollover (online wizard) | Direct Rollover request (plan-administrator form, varies by employer) |
| Customer-service phone | 1-800-523-1188 (Personal Investor) / 1-800-523-1036 (Small Business 401(k)) | 1-855-756-4738 (former Empower Retirement); 1-800-345-2345 (Prudential-acquired plans) |
| Customer-service hours | Mon-Fri 8am-8pm ET | Mon-Fri 8am-10pm ET, Sat 9am-5:30pm ET |
Known pitfalls at Vanguard
Warning: Vanguard's outbound-transfer form is at 'Profile & account settings → Move money out → To another firm'. It's easy to miss — they bury it deeper than other custodians.
Warning: If your 401(k) is at Vanguard Retirement Plan Services (employer plan), the path is different — log into Vanguard.com/retirementplans, not my.vanguard.com.
Warning: Vanguard requires a Medallion Signature Guarantee for transfers over $100K (NOT a notary — a Medallion stamp, typically from a bank you have a relationship with). Get this in person before you start; finding a Medallion provider can take a couple days.
Known pitfalls at Empower
Warning: Empower acquired Prudential's full-service retirement business in 2022 and MassMutual's in 2021 — if your old plan was at either, it's now on the Empower platform and the login is at empower-retirement.com (not the Prudential or MassMutual portal).
Warning: Empower defaults to mailing a paper check to YOU unless you specifically request a 'direct rollover, custodian-to-custodian wire'. If you accept a check made out to you, 20% is mandatorily withheld and you have 60 days to deposit the gross amount (the 20% comes out of your pocket until tax-time refund).
Warning: Some Empower plans require your former employer to countersign the rollover request — this can add 5-7 days if HR is slow. Call HR before you call Empower so they have your request on file.
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Start my free previewFrequently asked questions
- How long does a Vanguard to Empower 401(k) rollover take?
- Vanguard supports ACATS outbound transfers, but Empower uses a paper-based process. Expect 10-14 business days (paper-based) from form submission, plus 2–5 days for mail and signature gathering. Build in 2–3 weeks of buffer to stay well inside your 60-day rollover window.
- Do I call Vanguard or Empower first to start the rollover?
- Contact Empower first to get the transfer form and understand their acceptance process, then call Vanguard to initiate the outbound transfer. Because Empower is paper-based, you'll need their form or letter of acceptance before Vanguard can release funds.
- Will I owe taxes when rolling over from Vanguard to Empower?
- A direct trustee-to-trustee rollover from a traditional 401(k) to a traditional IRA or new 401(k) is NOT a taxable event — provided funds move custodian-to-custodian and are never paid to you personally. No federal or state income tax, no 10% early-withdrawal penalty. If you're rolling into a Roth IRA (conversion), the pre-tax balance does become taxable income for the year of conversion — that's a deliberate tax election, not a mistake. Request "direct rollover" language explicitly with Vanguard so the 1099-R is coded Box 7 = G (direct rollover) rather than Box 7 = 1 or 2 (distribution), which would incorrectly trigger withholding and IRS scrutiny.
- Does Vanguard charge a fee to roll over my 401(k)?
- Most employer 401(k) plans administered by Vanguard do not charge an outbound rollover fee, but some employer plan documents do include a distribution or processing fee ($25–$75 is common). Check your Summary Plan Description (the document your former employer sent when you joined the plan) — the fee schedule is in there — or ask the Vanguard rep when you call (1-800-523-1188 (Personal Investor) / 1-800-523-1036 (Small Business 401(k))). Vanguard may also liquidate any holdings that can't transfer in-kind before sending, so you could face a brief period out of the market during the transfer.
- What's the 60-day rule for a Vanguard to Empower rollover?
- If you received a check made out to you (an indirect rollover), you have exactly 60 calendar days from the date of distribution to deposit the full gross amount — including the 20% the custodian withheld — into a qualifying retirement account. If you initiate a direct trustee-to-trustee transfer instead (the recommended path), the 60-day clock does not apply because you never receive the funds personally. For direct transfers, initiate immediately — Vanguard's processing time is 5-7 business days (ACATS); 2-3 weeks for paper, which can consume a significant portion of your window if you wait.
- Can I roll my Vanguard 401(k) into a Empower IRA directly?
- Yes — a direct rollover from a Vanguard 401(k) to a Empower traditional IRA is fully legal under IRC §402(c). Empower uses a paper-based process, so you'll need to open the IRA at Empower, request the destination account details, and provide them to Vanguard when you submit your rollover form. The one exception: if your Vanguard 401(k) contains employer stock with significant appreciation, review Net Unrealized Appreciation (NUA) tax treatment with a CPA before rolling — NUA elections must be made at the time of distribution and cannot be undone.
Related
Vanguard info verified 2026-05-15 · Empower info verified 2026-05-15. Spot a change? Tell us.
This comparison is informational only — it documents the procedural mechanics of rolling over a 401(k) between Vanguard and Empower. nesthelm is not an investment adviser or broker-dealer; we do not recommend either custodian over the other. Consult a CPA or licensed financial advisor for advice on your specific situation.