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Author: John3haha Big red star, 1000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121477  
Subject: Rolling a 401(k) & early retire Date: 4/1/2014 9:57 AM
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Hello,

So, I hope to be 5-10 years from an early retirement. I will be rolling a significant 401(k) into an IRA shortly. If my total retirement savings amounted to $100, then this IRA would amount to $21 of that.

I already have nine accounts at a discount brokerage. One is taxable, two are Roths (I am married), one is inherited and five are various sizes of traditional IRA.

Does it matter where I roll this new 401(k) for tax planning purposes? I have smaller and larger IRAs now, and recall something about being able to pick and choose how to manage IRA withdrawals. Still, the sheer number of accounts creates a bit of complexity.

I generally understand tax planning, but do not fully understand the implications here.

Should there not be a material tax benefit, my intent is to roll this into an existing IRA to reduce the number of accounts I hold.

If it matters, this decision is more driven by an interest in mitigating exposure to the S&P 500 through the 401(k) where I dollar cost average into that index than tax issues.

Regards,

JohnH
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