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It depends on the rules of your plan. A few plans apparently do allow employees who have been in the plan for a long period to rollover funds to an IRA while still employeed with the company. However, those rules are very uncommon. Most plans do not allow it. So check the rules of your plan.

Even if your plan does not offer the best investment choices you may still want to contribute at least enough to get the company match. Some time in the future you may decide to change jobs. Then those funds can be moved to an IRA. The IRA/Roth IRA contributions limits are so meager that it is difficult to retire early on IRA contributions alone. The much higher contribution limits on the 401K still make them attractive--if you can afford it. Of course, LTBH investing in a taxable account can be best if you are disciplined about making the contributions, correctly select long term investments that continue to perform and can resist spending the money.

Best of luck to you.
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