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[[I am in the process making my first job change.]]


[[ I have worked for my current employer for 16
years and have a 401k with them. My question concerns moving the 401k(5 types of investments
within 401). Can I or should I leave it with my current company until I can roll it to a new
employers 401k?]]

You've got another choice: You can move them into a rollover IRA, keeping them completely separate from any other IRA funds. Then, in the future, since you have kept them separate, you'll be able to place these funds back into your new employer 401k plan.

But, I've gotta tell you that most people who take their 401k funds out never put them back into the "system". After managing their own investments (and, hopefully, slamming the market), they can't stand the thought of putting the funds back into an employer plan and screwin' around with those crappy mutual funds again. But, the choice is certianly yours.

[[ I've been considering rolling it into a IRA with my online broker, but not sure if I
could borrow against it like I can a 401k.]]

Borrowing against your IRA is certainly something that you CAN'T do. It verbotten. Any loans agains an IRA account is treated as a distribution.

So if your use your 401k accounts to borrow against, then you might have a decision to make. But if you have another source of funds, an IRA rollover might be fine for you.

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