I Left My Employer. What Should I Do With My 401k?
In this episode, Laura Rotter of True Abundance Advisors discusses the importance of organizing retirement accounts and the ease of rolling over accounts from previous employers. She highlights common issues individuals face, such as leaving accounts with previous employers and losing login information, leading to a lack of awareness of their retirement savings. Laura explains the three choices individuals have when leaving an employer with a retirement account: leaving the account with the employer, rolling it over into a rollover IRA independently, or working with a financial advisor to facilitate the rollover. She emphasizes the simplicity of the rollover process, which typically involves contacting the 401k provider, filling out necessary paperwork, and ensuring any distributed funds are deposited into a new tax-deferred account within 60 days to avoid tax implications. For those seeking assistance or guidance on retirement account rollovers or investment strategies, Laura encourages reaching out to her for support. She emphasizes the benefits of organizing financial life, including seeing all accounts in one place and ensuring investments align with individual and household goals. Key Points: - Many individuals have retirement accounts scattered among previous employers, leading to a lack of awareness of their savings. - Options for handling retirement accounts when leaving an employer include leaving the account, rolling it over into a rollover IRA independently, or working with a financial advisor. - The rollover process involves contacting the 401k provider, completing necessary paperwork, and depositing distributed funds into a new tax-deferred account within 60 days to avoid tax implications. - Laura encourages seeking assistance for retirement account rollovers and investment strategies to organize financial life and align investments with goals.
