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I have a 401K with my current employer. It is a bare bones plan with only 7 choices for where to put the money.

The choices are:
1.) a money market fund paying less than 0.50% (LUGXX)
2.) two majorly underperforming tech heavy mutual funds (ACEGX, ALTFX)
3.) a horribly underperforming bond fund (VKHYX)
4.) an uninteresting overseas mutual fund (FAOAX)
5.) two other funds that are also not to my liking (OPTFX,VAGAX)

I am very unhappy with these choices and I'm particularly unhappy that I can't invest in an index fund. A few employees including myself lobbied pretty hard to include an index fund when the plan was intitiated, but we were ignored.

Recently I've stopped contributing new money into this plan, allowing it to be taxed and then investing it on my own. I've done way better than anything I could possibly earn using these 401k choices, even after considering the 401k tax benefit.

I'd like to take the existing money in the 401K account and roll it over directly into my IRA where I can have more investment choices. Note I am NOT planning to quit my company, but only to stop participating in its 401K.

Anyone know if the IRS will let me rollover my IRA even though I'm not switching employers?

Comments on your opinion on the quality of these 401k investment choices are also welcome.
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