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This could be due to IRS regulations concerning specific contributions in your Roth 401K. If you made both after-tax and pre-tax contributions through your employer, these need to be separated when you leave. The pre-tax contributions and its earned interest would form a traditional 401K, while the after-tax contributions and its accruals would remain in a Roth 401K. This separation is necessary to maintain the tax treatment of the different types of contributions. When the time comes to withdraw these funds, those from traditional 401K will be taxable and those from Roth 401K will typically be tax-free. Always remember to consult a tax professional to understand how these rules apply to your situation.

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