I need to transfer my old 401k over to the new 401k.

How should i go about this? contact the old 401k people or contact my new 401k folks? or should i do this all through state employees credit union? I do not want the tax hit.

old 401k co is Putnam
my new 401k co is Fidelity Investments

9/2/2013 10:30:55 AM

I had to contact the HR person at my old employer, who gave me some paperwork to fill out to roll over the old plan to my new plan.

There shouldn't be a tax hit unless you straight-up withdraw the funds. If you just roll it over, it should be OK.

Anyone else feel free to correct me if I'm wrong.

9/2/2013 10:49:36 AM

well they sent me a DOL notice saying they are moving to a new 401k company and old employees will have to take the tax hit if they don't move it.

9/2/2013 11:02:11 AM

Ohhh you didn't switch jobs.

Then I really don't know. Sorry.

But one would think your HR person/dept would have some information on this, no?

[Edited on September 2, 2013 at 11:12 AM. Reason : ]

9/2/2013 11:12:13 AM

just did this recently and only had to talk to fidelity - for me both my old and current employer were both using fidelity for 401k though

9/2/2013 12:38:50 PM

Fidelity has pretty good customer service, give them a call and they should be able to walk you through it.

9/2/2013 1:04:08 PM

That's bullshit that they didn't migrate it for you, if you didn't change jobs.

9/2/2013 3:16:09 PM

Yeah there is some factual information missing here.

Im guessing you left a company and left your 401k there. Now the old company is changing plan sponsors and since you have under $5,000 in the plan theyre forcing your hand.

Just open an ira and then ask the ira company how check should be made payable
(Aka. Fidelity Management Trust Co. - FBO Rob __(last name)_____"
then call the old 401k provider and ask them to cut the rollover check. You may have to sign paperwork.


If its a tiny 401k suck it up and roth convert it while we are in a low income tax environment

9/2/2013 4:46:13 PM

Agreed

9/2/2013 6:58:38 PM

^^ good info thnx. Its roughly about 8k.

9/2/2013 7:02:38 PM

Well, you shouldn't have to xfer it then. Fidelity has a good 401k plan, but I prefer the flexibility of an ira, plus if you're in a low bracket, it makes sense to go ahead and pay taxes on it now.

[Edited on September 2, 2013 at 7:13 PM. Reason : ]

9/2/2013 7:12:20 PM

yeah fuck migrating it into another 401k. roll it over into an IRA and have the flexibility to invest where you want.

9/2/2013 7:31:00 PM

Quote :

"Well, you shouldn't have to xfer it then. Fidelity has a good 401k plan, but I prefer the flexibility of an ira, plus if you're in a low bracket, it makes sense to go ahead and pay taxes on it now."

I will explore IRA. I have assumed a 401k is where you want your steady retirement (without getting offtopic).

Here is what they sent me.



[Edited on September 2, 2013 at 8:55 PM. Reason : ff]

9/2/2013 8:53:50 PM

Lol at whoever wrote that. Very unofficial "im sure there are other options" and "Your banks can help you with this"

Anyway im not sure if what hes saying is correct about the new provider being allowed to refuse your funds.


But ira is usually better choice than an old or new plan for investment options, flexibility, and beneficiary options.

The only exceptions for an old plan would usually be company stock thats had huge appreciation and you want to leave it there to keep your cost basis intact.

For the new 401k it usually only makes sense if you plan to take a loan or if you were between 55 and 59.5 years old bc you can take penalty free distributions earlier from a 401k than an ira

9/2/2013 11:41:28 PM

all management is Korean. I expected nothing less.

9/3/2013 7:17:14 AM

Quote :

"I have assumed a 401k is where you want your steady retirement"

Seeing as how the "R" in IRA stands for retirement, I wouldn't be too worried.

9/4/2013 7:52:42 PM

Well there's benefits to 401k, such as being able to take out a loan against it, should an emergency arise. And contribution limits are higher.

But since its 8 grand, and there's no other real benefit other than loans... I'd prefer the investment flexibility of an IRA.

9/4/2013 9:01:42 PM

the second I am no longer at my current company I'm rolling my stuff over to Vanguard. Our funds are terrible.

9/5/2013 7:27:41 PM