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Author: Heriknav Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76418  
Subject: What to do with 401K rollover funds? Date: 4/13/2014 5:38 PM
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A couple of months ago I took a job as a government civilian. I had about $52K split into both traditional and Roth funds with my previous employer's 401k plan. I've since moved the money to USAA brokarage accounts and now I'm looking for ideas on how to invest the 2 accounts. Initially, I'm looking at just putting both in an index fund. For now, I don't think I will be adding money to either account as I'm trying to pay down my debt.
Any other ideas suggestions?
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Author: DRGRNR Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 74754 of 76418
Subject: Re: What to do with 401K rollover funds? Date: 4/13/2014 8:54 PM
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Congrats on your success so far. The answer is already inside of you. You need to assess your risk tolerance and do your homework. Investing is a job. Most FOOLS will suggest stocks, but I have gotten very satisfying yields by choosing mutual funds with good track records. You need to decide what is right for you. Do your own math. Good luck.

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Author: aj485 Big gold star, 5000 posts Feste Award Nominee! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 74756 of 76418
Subject: Re: What to do with 401K rollover funds? Date: 4/14/2014 2:23 AM
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I had about $52K split into both traditional and Roth funds with my previous employer's 401k plan. I've since moved the money to USAA brokarage accounts and now I'm looking for ideas on how to invest the 2 accounts.

What was it invested in while you had in the 401(k)? Were you happy with those investments? If so, can you find investments that mimic those? If not, look at why you were unhappy with those investments, and choose investments that resolve those issues.

For now, I don't think I will be adding money to either account as I'm trying to pay down my debt.

Are you eligible for the TSP in your new job? If so, are you contributing enough to get the maximum match? If not, I would suggest that should come before debt paydown. Otherwise, yes, it's probably a reasonable thing to pay down relatively high rate debt before contributing to an IRA.

AJ

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Author: Heriknav Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 74757 of 76418
Subject: Re: What to do with 401K rollover funds? Date: 4/14/2014 1:03 PM
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AJ,
The 401k was managed by ING for my company (Serco Inc) and it was about a 75-25 stock/bond funds split set up. I'll look back to see what specific funds ING had me in and consider reinvesting in them.
Yes, I'm contributing to TSP enough to get the max gov't match. I'm hoping my TSP account will do as well in the next 3-4 yrs as my Serco 401 did. If it avgs about $50k every 4yrs, that should give me about another $200K by the time I turn 65. :-)
Thanks for the reply,
AC

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Author: Heriknav Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 74758 of 76418
Subject: Re: What to do with 401K rollover funds? Date: 4/14/2014 1:10 PM
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DRGRNR,
Thanks. I was pleasantly surprised with how the fund grew in just 3.5 years of working for Serco. Of course, their matching $$$ helped a lot.
I've 'dabbled' through the years w/ both stocks and funds. But as I get closer to "real" retirement, I want to get smarter about how & what I invest in. I retired from the military a few years ago, so I've got that as buffer, but I don't want to rely on that too much. Thus, I'm back to being a "Fool" again. :-)
Thanks again,
AC

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