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Subject:  Re: 401(k) to IRA rollover question Date:  7/8/1999  9:07 PM
Author:  bacon Number:  11850 of 78166

<<It seems to me that the money should be directly sent to the broker to avoid any penalties, but how can I make that happen without an account set up yet?>>

This part is so easy it seems too good to be true--but it's in the brokers' interest to keep this sort of thing this easy. Have your new broker send you the forms for opening an account and for effectng a direct transfer. Fill them out and send them back to your new broker. They'll take care of the rest. Expect 3-6 weeks (typically) elapsed time from when you send back the forms before your money actually arrives.

<<Secondly, it was suggested to me to later convert that transferred money to a Roth IRA. Is that something that should be considered?>>

Always worth considering, but it's your decision. Some factors to consider:

Roth: has tax free withdrawals after you've met the criteria for withdrawing; has favorable (compared to traditional IRA) estate t