No. of Recommendations: 4
Rolling your 401K into an IRA has nothing to do with turning 50. It has to do with leaving the job where you have the 401K. Rarely is it possible to do this rollover while you are still working for that employer.
You have more choices in your IRA, because they are governed by your trustee rather than by an agreement between your employer and a company hired by your employer to manage 401ks. With that company eliminated, you won't be paying that entity. It is possible that your employer is paying all the fees, but often that isn't the way it works.
You may be overwhelmed with choices. Usually in a 401k your choices are limited to an array of mutual funds. In an IRA you might buy any mutual fund or any stock, or a bond, or a GNMA, or a host of publically traded investments.
When you leave the employer with whom you accumulated the 401k, you have the choices of leaving the money with the present plan, rolling it to an IRA, or perhaps to start taking annuity payments. Unless you are totally inept at investing and don't care to learn, IMHO to roll to an IRA as soon as you have that option is a no-brainer.
Best wishes, Chris
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