My g/f quit her job where she had 401k, now she is working on her own and would like to know how she keeps...?

Question

having 401k benefits and also if she has to speak directly with these people or with the people from her old job?

Thanks in advance.

Answer 1

Some companies allow people who leave to keep their money in the company 401K plan, and some require that it be taken out. In any case, she has the option of moving it to a rollover IRA.

She should call the HR department at her old company to find out her options. They should have given her that info when she left.

Answer 2

Some jobs let you keep your 401k going, even after you don't work there anymore. But most will offer you the opportunity to roll it over into something else. I'm not sure if she can establish her own 401k, but she can open an IRA account at pretty much any bank or even online. She will have to speak to the HR department at her old job to request the paperwork she'll need to roll over the funds and then submit them to the bank. What you want to avoid is not doing anything, because if her job does not allow former employees to maintain 401k accounts with them, they might eventually just cut you a check--and at that point that money becomes taxable income. Not good.

Answer 3

Not sure what you are asking....

Are you asking if she can keep her old 401k at her old job or are you trying to find out how she can put money into a 401k while she's working on her own?

One thing she can't do is put additional funds into her old 401k. Other answers are dependent upon what you are actually trying to do.

Answer 4

She can get her 401K rolled over with your insurance agent.

She will most likely have to contact the HR department or the benefits number that services her 401K to get some information from them in order for her insurance agent to "roll" her 401K over to them.

Answer 5

She can roll it over to a roth IRA at the bank and have money directly deposited in there from her checking account. At least that's how it works in the state where I live.

Answer 6

Move it to a Roth IRA. There are some other option also. If you have a financial adviser, I would sit down and talk to them. Some options will cost you or you will loose part of it with others.

Answer 7

My wife moved hers to a money market account at Well Fargo and we are very pleased with the returns.