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| I changed jobs a couple years ago.
Now, I'm wondering should I rollover my 401K
I guess another option would be to open up
What do you think would be best? I don't plan on taking any early withdrawals. thanks, jasper
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Follow-Up Postings:
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| I had three 401(k)s from previous employers and I rolled them all over to one IRA, for two reasons: first, even though the money should be separate from the company's money, I didn't want to hear anyone say "oops". They've mucked around enough with my pensions. Second, it's easier to keep track of the investments this way. In the old plans, the offerings were switching frequently ("Starting in October, the SafestHouses conservatively-managed Fund will be transferred to the Lookout Below "opportunity" Fund.") With my own IRA, I can determine where my money is and how to diversify it appropriately. |
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- Posted by jasper_60103 (My Page) on Sat, Aug 19, 06 at 22:06
| Hey Sue, Steve. Thanks for the info. An IRA may be way to go. I especially like having more investment choices and being able to keep a close eye on things. thanks again, |
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| Roll them over to an IRA where YOU cam make your own investment choices rather than the limited choices your company(ies) offer. |
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| You do have to be very careful about who's in control of your retirement money. It's not impossible for it to be 'lost', especially if a company is in trouble financially--those funds are not as safe as many people would have you believe, unfortunately. Investigate all your options and choose the one that is safest, where you have the most control. |
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| If your old 401K has been performing well, and the company is sound and stable, I'd leave it alone. If you want the ease of all money under one roof, move it into your current 401k...assuming it's a stable company with good management results. If you do not study investments alot, I would not bother with trying to manage it. Chances are pretty high in my opinion that you'll never get as good results as the pros who make their living managing money. |
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| If you do not study investments alot, I would not bother with trying to manage it. Chances are pretty high in my opinion that you'll never get as good results as the pros who make their living managing money. True, but rolling it over into an IRA at a financial house of your choosing often gives you more options: for example, lifestyle-geared investment plans (more aggressive for younger clients, more conservative for when you don't have time to make up a bear market); index funds (more than just the Dow Jones or S&P 500); etc. There are lots of people who can offer easier investment strategies ("couch potato" portfolios, "one-minute" investing, ...) and while one size does not fit all investors, if you find an investment approach that has appeal to you, it very likely will be easier to pursue it at a large investment house than through an employee-sponsored plan. |
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- Posted by jasper_60103 (My Page) on Mon, Aug 21, 06 at 14:28
| Steve, Sue: just wondering did you use a financial planner for setting up your IRA? I had spoke with one from a reputable firm, but he seems so insistent that I need him to manage my entire financial portfolio (for a fee of $700 for starters). I didn't appreciate his hard sell and would never do business with him. I guess he just rubbed me the wrong way. Thanks again for the advice. -jasper |
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| I did not. I went with a firm known for their integrity, their variety of mutual-fund offerings, and their low expense ratio, and I read various sources to develop a consensus about how best to invest my money. I wouldn't waste a minute of my time with anyone who was not content with however much business I would give him/her or who was paid through the funds, etc., that he/she was promoting. There are too many people out there offering financial advice to put up with anything or anyone you don't like. If you can, try to get some recommendations for "fee-only" financial planners; while you'll have to pay them up front, you can feel better that they're not unduly influenced by winning a trip to Hawaii for pushing a certain fund or investment vehicle. |
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- Posted by jasper_60103 (My Page) on Tue, Aug 22, 06 at 10:25
| Yeah, I have a neighbor who works for an accounting firm downtown minneapolis. I'll try to talk to him. Hey, enjoy the state fair. thanks, |
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| "Steve, Sue: just wondering did you use a financial planner for setting up your IRA?" Most of my money is with the company I gave you the link to. I have IRAs, 401k and a brokerage account with them. I use a regular bank for banking. I don't use a financial planner. |
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- Posted by jasper_60103 (My Page) on Sat, Aug 26, 06 at 1:02
| Thanks Sue. |
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