Can you transfer an IRA to a specific companies 401k plan?

Question

Thank you Yada Yada Yada and whoever else answers by the time I add this additional comment. Yes, would you please go into detail more Yada? My company doesnt match in the 401k but I am wondering if they start matching I may want to move an IRA to the 401k. Thanks again very much!

Answer 1

You might be able to, buy why would you ever want to do that?

Once you have your money in an IRA, you can do everything from the IRA that you could do inside a company's 401K plan, AND MORE!

Moving money into a 401K only restricts your options.

In fact, most 401K plans use mutual funds and in case you didn't know, mutual funds are not the best thing to invest in.

(let me know if you want me to go into details why)

Answer 2

I agree that it is not a good idea to do that. However, you can contribute to a 401(k) and an IRA. The contribution limits for a 401 are currently $15,000 a year, and the limit for an IRA is $4,000. What's important is that you 1. are contributing to at least one of your retirement accounts, and 2. that you allocate your assets accordingly in both accounts. In other words, in order to reduce the risk in your account, invest in several asset classes (stocks, bonds, cash) and coordinate both the accounts (401k and IRA) so that they are working together to reach your financial goals instead of two separate accounts that do not have a coordinated plan. Let me know if you need more information.