UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev | Next
Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75835  
Subject: Re: 401k/ira query Date: 9/13/1998 11:03 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Greetings, HLANDAU, and welcome. You asked:

I recently received a lump sum retirement settlement that I placed in an existing 401(k). Can I move this money to some other retirement device, e.g., IRA?

A retired friend of mine wanted to know where to invest some money that was sitting in an IRA that he had (it collects an unfoolish 5% from a bank). My friend is in his late 70's.


If you're still working and participating in that 401k, then you won't be able to now move that rollover to an IRA. You're stuck until you leave that job or retire unless your plan has provisions for in-service withdrawals after you reach a certain age, usually age 59 1/2. You should check with your benefits administrator to see what's allowed within your plan.

Your friend can invest his IRA money in virtually anything he chooses, but he must make the choice based on his tolerance for risk and on when he wants the money from that IRA. The sooner he wants it, the more likely he should keep it right where it is. We can't make recommendations because we know absolutely nothing about him or what he's seeking from that investment. Additionally, in Fooldom we believe every person must make their own investment decisions based on their goals and after their own research. We can and do comment on alternatives under consideration, but we believe most strongly that everyone must make their own choices.

Regards…..Pixy
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Managing Your Wealth
Our own TMFHockeypop from Rule Your Retirement fame on the TV show Managing Your Wealth.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Apple

The Saddest Place on iPhone Day
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement