401k Rollover…is it the right choice?
A great thing about 401k plans are that most companies offer them. Why this is good news for you is because if you decide to leave your current employer and your new employer has a 401k plan you will most likely be able to do a rollover 401k into their plan easily. Before this used to be a difficult process but with some recent government regulation changes it has become a lot easier to roll your money over. Not only does this prevent you from having multiple retirement accounts all over the place but you don’t have to mess with the difficulties of managing all of your investments and making sure they are organized properly and performing well.
There are some benefits to a 401k rollover to a new employer as opposed to rolling over to an IRA. This all depends on the options that are in your new employer’s 401k plan. To invest in an IRA or single mutual fund in most cases you need a minimum investment. So if you do not have a lot of money in your 401k it will be more difficult to diversify those funds. With a 401k rollover into a new employer’s 401k plan there are generally no investment minimums so it doesn’t matter the amount of money you have in your current 401k. This means you can diversify a lot easier with a 401k and this is a big benefit! Read the rest of this entry
When you need to move your 401k account into another, the first thing that pops into your mind is how do you rollover a 401k? If you are like me you not only need to know all the information involved in doing something, but you also want to see some guidelines so you can assure you are following the correct procedures and are on the right track. It’s easy to question yourself when you are not 100% sure of what you are doing. It is especially scary when you are dealing with your money.
So for those of you that want to know how to rollover a 401k, here are the basic steps you need to take when participating in a direct 401k rollover to a new account.
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Your money is important to you, right? If it wasn’t you probably wouldn’t be here right now. Well I think your money is important too which is why I’m going to cover some tips on how to find a financial advisor. Finding a financial advisor is a big deal because this person is going to be responsible for explaining to you what your financial options are and guiding you on what your next money moves should be. They will help you make investment decisions that can greatly impact your financial state, for better or for worse, so you want to make sure that when you are choosing a financial advisor you don’t act too quickly, take your time, ask a lot of questions and learn a lot about their background. Read the rest of this entry
When it comes time to rollover your 401k there are a few 401k rollover rules that you need to keep in mind. These rules are important because it can mean the difference between losing no money and losing close to half of your retirement money in taxes. That is not something you want to do. There are also some 401k rollover rules on what you can and cannot rollover into a new account. There are a lot of rules based on a number of scenarios so I’m going to cover a few of the most common rules that people should know about: Read the rest of this entry
Opening a custodial IRA account for your kids or a family member that is a minor is a great way to show them the importance of saving for retirement at an early age. When I was growing up, even all the way through high school I had no idea about investing. I didn’t know what a FICO score was and I certainly never heard the terms roth or traditional IRA. Teaching a child about investing and saving early on is one of the best steps that you can take to help them secure a good financial future. Read the rest of this entry
You may have seen the term 403b mentioned here and there before but never had an interest or a need to know what it is. But, if you are taking a position or have a job such as a civil government employee, a University employee, or will be working for a not-for-profit company, then you will need to become familiar and aware of what a 403b retirement plan is. Read the rest of this entry
