Quote:
Originally posted by pdxhicap
My employer is currently switching from one 401k company to another. I have the option of taking the funds that I currently have in my 401k and:
1) Rolling it into a 401k with the new company.
2) Leaving it in the existing 401k.
3) Rolling it into an IRA.
My question is this.....Which is better, to have money in a 401k or an IRA?
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And there's a reason the company "suggests" rolling the money to your own plan. Your employer pays administration costs that increase as there are more participants, and if the number of participants hits a certain point, a requirement for audited financial statements is triggered.
So the more people they move off the plan, the better they are. If it gets rolled into an IRA, you will be required to pay any costs.