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URL:  https://boards.fool.com/chrewick-i-was-recently-layed-off-from-my-job-and-18162479.aspx

Subject:  Re: Should I rollover my 401k Date:  11/16/2002  5:26 PM
Author:  anuvaka Number:  15550 of 26309

chrewick
I was recently layed off from my job and now have been given the option to rollover my 401k. Is this something I should do and if so which IRA.

Do Nothing. you will not be forced to rollover your 401 unless you are below the minimum investment threshold (usually about $5000) or the Plan has a stipulation that you must.
right now you are busy looking for a new job, you do not need a distraction. and it is possible your new employer will accept a 401k transfer to their 401k. you will have plenty of time to make that decision Later.

401k's can only be rolled over to a Traditional IRA. if you choose to roll it into a Roth later, but you will have to pay the taxes to do that.

At the moment I have a Roth IRA that I have already put the maximum in for the year. The majority of my current 401k is in an index fund.

a 401k to IRA to Roth does not fall under this rule. the $3000/yr max is for new money
most mutual funds charge an IRA maitenance fee (10 to $25/yr) and/or a low balance fee. this is often waived for account totals >$10k to $50k.

good luck in your job search.
joeC
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