Smart Strategies for 401(k) Rollovers to IRAs

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Contact Vanguard.com for assistance. Their costs are the lowest in the industry (from 0.05% to 0.25% per year for most funds and no sales charges) and they will provide guidance through the entire process.

Bill of IL 2:20PM April 22, 2013

The company I have left says I can't rollover my 401k that I have with them into my current employers 401k for 6 months? Can they do that? I'm vested in both plans.I turn 55 this year.

Beth of MO 9:59PM February 05, 2013

It was the worst decision I've ever made in 2010. I took $200,000 tax free roll-over from my IRA to my Roth account in 2010. I had to pay tax on $100,000 in 2011 and 2012.

Edward Ho of CA 10:59AM November 04, 2012

Rick- if you put money into a 401k it was most likely taken out of your paycheck pre-tax. You didn't pay taxes when you put it in, so the IRS requires you to pay taxes when you take it out. You also will have to pay taxes on any gains in the 401k.
It's possible to make post-tax payments into a 401k, but most people don't do that. If you did, that money won't be taxed. It's also possible that you have a ROTH 401k which is only for post-tax money and your contributions and gains wouldn't be taxed when you take them out.
On your statement it should tell you what you have. It's an unfortunate truth that when you put money into a traditional IRA or 401k you have a partner- the IRS. You are investing for yourself and for your partner. And that partner wants their money eventually!

Joseph Blough of CA 2:32PM October 24, 2012

why do we have pay taxes on our 401k when it came out of our pay check and tax was already taken out

Rick of NH 9:53AM October 15, 2012

I've stayed aggressive with my 401K during this whole economic downturn. I plan on leaving my employer soon. I'm thinking that I should wait at least a few more years (or at least until after the elections) before moving the money out of my employers plan. Any thoughts?

Sean O. of IN 8:07PM October 12, 2012

With the Tax armagedon coming early in the new year folks should consider the option of converting their IRA's into Roth.
Get this free book from www.myiraresoultions.com, it's call the IRA RMD Resolution.

Lou of FL 5:45PM October 11, 2012

Can I move qulified funds from my 401 or any other type of retirement program to an IRA fixed annuity that accepts qualified fund. Its seems that the IRS states somewhere there must be a qualifing event such as changing employers , retiring etc. What if I don't like the plan just want to move to a different plan..ie a fixed annuity IRA. I'm not interested in all the details about fees and vesting, I just want to know if I can move from one plan to another. Why would they lock you in?

Jeff Woodward of FL 4:20PM October 10, 2012

When Changing jobs and rolling over and old 401k ,it is more advantages to rollover to lower cost financial institutions such Vanguard , Fidelity, Schwab, Etrade
instead of Company 401k as increase fund choices also help diversify the portfolio and reduce costs

S. Shetty of NC 9:37PM September 20, 2012