I am at a new company. I have a 401K from an old company. Is it better for me to roll the old 401K money into my new 401K or to open an IRA and deposit the old 401K monies into the IRA? I am 52 years old and plan to work another 20 years or so.
If you old 401K has a large sum in the account, 10K+, Do Not rollover or transfer to another 401K. Keep it separate, as the old saying goes, "don't keep all your eggs in one basket" in case the basket falls/drops.
Is an IRA better than a 401K?
Is an IRA better than a 401K?
An IRA can offer more flexibility in regards to fund selection. Some employers offer high fee funds so sometimes its more advantageous to use an IRA. On the other hand if your company offers a match you'd still need to participate in the 401k to see that benefit but the match always outweighs fund fees since its a 100% return on the amount you put in and they match.
I think the IRA allows you more investment opportunities than the 401K. So it really depends on what you are looking to do with your money.
It depends on a number of factors. Ask if your 401k rollover can be an "in-kind" rollover. If not, look at the investment options of your new 401k. Do you like them? If you don't, roll over to an IRA where you can control your investment options. If you do like it, stick to the 401k.
drew
cole - they are the same - 403b are from non-profits
@Amanda E.
What is an "in-kind" rollover
It depends on the penalties and age/time frame you're allowed to withdraw your money and the associated taxes you are willing to incur.
Close to retirement . I am looking for financial assistan;ce.
It’s all confusing
yes Noel - but keep reading - there is a lot of good info out there
Planning to retire soon. How do I find a good financial planner?
IRA all the way.
It's all very confusing
401k
