No. of Recommendations: 3
….I am unprepared to reinvest the total amount upon retirement….

You already have the money invested within the 401k so moving it to an IRA does not really change anything other than giving you more flexibility and possibly lower costs.

What is the money invested in now in the 401K? If it is something like and S&P index fund then you could just roll into an IRA and invest in a similar fund in the IRA.

Unless there are vesting or company stock issues, I would just roll it all out to an IRA now. Since you are over 59.5 years old. 401K's do have an advantage in that you can withdrawal from them without penalty starting at 55, but that does not matter in your case.

I have also run into a situation where the 401K funds were frozen weeks during a merger and change of 401k administrators. In my case it was for about 6 weeks so the accountants could audit everything.

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