What happens to my 401k when I change jobs?

Leaving a current employer can be an exciting and nerve wracking time of life at the same time.  It can be exciting as you think of the new possibilities you’ll have in your new daily setting.  However, you may be wondering what can happen to the balance you’ve worked so hard to save in your former employer’s 401k plan.  However, before you decide, it’s important to understand and evaluate all your options.

Consider your options.

Which option is appropriate for you?  There are several factors to consider based on your personal circumstances and preferences.  We can help you become informed in order to make the most informed decision for yourself.  Here are several of the options that may be available to you.  Contact us today to learn more about the pros and cons and costs of each.

• Leave it in your former employer’s plan
• Move it to your new employer’s plan
• Take a cash distribution
• Roll your 401k into an IRA

Before you make your decision, we encourage you to be sure you know the benefits and limitations of your available options and consider factors such as investment related expenses, plan or account fees, the available investment options, distribution options available, availability of loan provisions, age eligibility of access, tax treatment and penalties, and other factors specific to your specific individual situation.