I have recently started a new full-time job, but am still listed as a "part-time on-call" employee with my old company. As such, the benefits dept. at the old company says that I am unable to roll-over or transfer my 401k to my new company's 401k or into an IRA since I am still listed as "employed" with them. This arrangement is a favor to my previous employer and I will probably be doing very little part-time work for them.
I would still like to contribute money to my existing 401k, since I already have a significant amount in there. Is it possible to make extra contributions to this 401k plan, other than a payroll deduction? If this is possible, is it okay ethically (since my old employer matches contributions up to a certain amount and I am not really "working" for them anymore)? Or is there any way to transfer the old account to an IRA or my new employer (or is my old benefits dept. correct)?