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I was layed off last Oct. and left my money in that 401K due to it's preformance. I have been told that I have to roll over that money before next Oct. and I don't have a clue what to do with it. I have about 55K in the original 401 which is with Fidelity.

Since you have more than $5000 in the account, you don't have to move it anywhere if you don't want to. By law, you're allowed to keep it where it is if you'd like.

The company I have started working for has their own 401 but I have to be there a year before I am eligable to join. I have heard about IRA's and Roth IRA's but don't know much about them. I'm to much of a novice to manage my own money at this point and "need good advice"

You have a few options-
1) Keep the money with Fidelity.
2) Roll the money into your new 401(k). You'll have to check with your current benefits person to see whether your new plan will allow this, not all do.
3) Roll the money into an IRA. Any broker, discount or full-service, will let you open an IRA and roll money over into it. This is generally the option Fools choose because you can invest in whatever stocks or mutual funds you'd like inside an IRA and you don't oew any taxes until you withdraw the money.

If you decide to move the money into an IRA, you would then have the option to move some or all of it into a Roth IRA. You would have to pay taxes now on the money you move into the Roth, but you'd be able to withdraw it from the Roth tax-free in retirement.

There's a pretty good explanation of exactly what an IRA is on this site that you might want to read as well.
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