Or should I start an IRA and put them money there instead of rolling it over into employers plans?
2006-09-13 12:11:57 · 7 answers · asked by Rich B 2 in Business & Finance ➔ Personal Finance
Will I be able to roll my 401k's into a IRA without paying any taxes? What will it cost to setup the IRA? Roth or Traditional, etc?
2006-09-13 13:43:03 · update #1
Absolutely DO NOT roll them over into your new employers plan... You need to do the latter... Roll them into an IRA owned BY YOU! Do not touch them after that except to add to them...
Good job thinking about this... now get going and get it taken care of and rolled over !! Happy investing! : )
2006-09-13 13:11:08 · answer #1 · answered by Kitty 6 · 0⤊ 0⤋
Well I work for a very large mutual fund company that specializes in IRA's. If you do a direct rollover of your 401k's, then you will avoid any immediate dealer fee's and you get taxed only if you plan to withdraw money from your 401k. Consult with a financial advisor and find the best company to get a Traditional or Roth IRA from. You'll make more money having your own IRA through a mutual fund company then having your employer match your salary deferral.
2006-09-13 15:14:32 · answer #2 · answered by Anonymous · 0⤊ 0⤋
You cannot put more than the annual max in a Roth (I think $4,000 for people under 55). Also, you need to invest after tax dollars into a Roth as the withdrawals are all tax fee subject to meeting the conditions (time, age).
I would suggest a no-load mutual fund IRA. But I am not a professional. So contact a Certified Financial Planner and lay our your options. Just remember three things:
1. Do NOT buy products or services from the planner. You should make it clear you will just pay him for his time.
2. If investing in funds, select no-load funds to avoid paying sales fees.
3. Do it quickly.
Good luck!
2006-09-13 15:55:10 · answer #3 · answered by inpoetry1 3 · 0⤊ 0⤋
the only way you have performed this became in case you had left the money interior the previous 401Ks. A 401K may be rolled to a various 401K (if the hot plan facilitates it) or an IRA. What you pick to do is roll the IRA to a 401K. See IRS pub 590, internet site 23. A 401K is *not* on the checklist of targets for rollovers. The checklist is TSPs, 457 and 403s.
2016-10-14 23:33:24 · answer #4 · answered by rochart 4 · 0⤊ 0⤋
Either way, as long as it gets out of the old employer's 401k.
2006-09-13 12:14:06 · answer #5 · answered by Dwight D J 5 · 0⤊ 0⤋
Roll to an IRA.
That way you get to choose your financial provider (not your employer's HR department).
2006-09-13 13:12:30 · answer #6 · answered by derek 4 · 0⤊ 0⤋
Go to a financial consultant. Weigh the pros and cons. Good luck.
2006-09-13 12:43:50 · answer #7 · answered by angelikabertrand64 5 · 0⤊ 0⤋