Message Font: Serif | Sans-Serif
No. of Recommendations: 0
Thank you all for your help. i've been putting off making the decision pending doing more investigation starting with the basics, and that's a lot to wade through.

Well, i'll still be doing some due diligence research, but your points are well taken and at least give me a good shove in the right direction.

so now i am predisposed to the IRA. I also heard that if you put the funds into a "rollover ira". in this case you cannot make additional contributions and do not comingle the funds with other ira funds, and that allows you at a later date to move the money back to an employers 401k if you decide to do so.

with regards to setting up a 401k, i have heard that traditionally setting up and managing 401k's are a tricky business. but i did notice that a number of discount brokers (firstrtrade, ameritrade, brownco) offer standard/boilerplate plans that have been used previously and/or have had an irs determination made that it is a qualified plan. so that led me to believe that you could adopt one of those pre-approved plans that would keep expenses to a minimum. still will take developing a better understanding of 401k plans that most people want to know. and then there is the problem that if the laws change, how do you make sure you keep up to date / comply without a professional in the area monitoring it?

per your advice, i concur that putting my rollover funds into an ira is the best route. how about for new funds? could anyone give perspective on the pros/cons of choosing between using a traditional ira, sep ira, simple ira, or a qualified 401k plan? as i indicated before, i am doing business as a corporate entity. currently have no employees but could have some in the relatively near future.

again, thanks all for your help.
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
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.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! 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.