The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing


Subject:  Re: 401k to independent and back? Date:  9/20/2000  3:26 PM
Author:  TMFExRO Number:  24938 of 89476

I am about to become self-employed, and have an existing 401k. Due to the benefits of compounding, I'm interested in moving my 401k funds to an self-employed plan of some sort. Do you know if funds can be moved out of a self-employed plan back to a 401k should I return to employee status in the future?

As a part of your separation process, you should receive information about your options for the 401(k). One will be to roll it into a traditional IRA, a/k/a a "conduit" IRA. If you don't taint the conduit IRA with contributions, you can roll it into a future employer's plan if that employer allows.

Details are in IRS Publication 590.

Phil Marti
Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us