401(k) Retirement Rollover Decisions
Your 401(k) retirement rollover decisions impact your retirement planning process because the decisions you make can have a major impact on your future. Should you roll over your 401(K) or not?
However, there are five things you can do with an IRA you can’t with a 401(k).
But, should YOU roll over your 401(k) to an IRA? Many people think this is a simple decision; but this decision isn’t as simple as it sounds. Believe it or not, depending on your situation, you may have up to SIX different options available to you! And, some retirement rollover decisions you make can come with unintended tax consequences due to their relationship with other legislation.
Want to know more? You’re smart. I’ve created a video series that will review all six of your potential options, including the advantages and disadvantages of each. So, grab some coffee! I hope you find These helpful. Here are your six options:
- Leave your money in your current plan
- Move your money to your new employer’s plan
- Roll your money into an IRA
- Take a lump-sum distribution of all your money
- Convert plan assets to a Roth IRA
- Make an in-plan Roth conversion
Understanding Investments, Diversification and the 401(k) Retirement Rollover Decision.
Investment management requires a basic understanding of the principles of diversification and knowing how investment returns are computed. In addition, it’s important to understand the costs of various investment options. The most popular investment option in most retirement plans is the mutual fund. Of course, whether to rollover your 401(k) to an IRA should be evaluated, as well.
Here’s some reading you might find helpful:
- Understanding Diversification
- Understanding Investment Returns
- Understanding the Mutual Fund Landscape
- Your Rollover Checklist
IFG has been helping people plan retirement for more than 22 years. For more information on retirement income needs and income sources, please contact IFG today.
