401k Rollover
10 Key benefits rolling over a 401(k) to an IRA
More investment options
IRAs typically provide access to a wider range of investments compared to 401(k) plans, including individual stocks, bonds, ETFs, real estate, and alternative investments
Greater control over your portfolio
With an IRA, you have more flexibility to choose and manage your investments, adjust your risk tolerance, and implement strategies like asset allocation
Lower fees
IRAs often have lower fees compared to some 401(k) plans, especially smaller ones that may have higher expense ratios or plan expenses
Simplified management
Consolidating multiple 401(k) accounts from different employers into a single IRA can make it easier to manage your retirement savings and track your progress
Better communication and easier access to information
Managing your own IRA typically provides more direct access to account information and updates compared to employer-sponsored plans
Roth conversion opportunities
IRAs allow for Roth conversions, which can be beneficial for tax planning in retirement
Qualified Charitable Distributions
For those over 70.5 years old, IRAs allow for tax-free withdrawals to donate to charity, an option not available in 401(k) plans
More flexible beneficiary options
IRAs often provide more options for designating beneficiaries and can offer advantages in estate planning
Potential for professional management
Some IRA providers offer access to professional investment management and comprehensive financial planning services
Continued tax-deferred growth
Rolling over to an IRA allows you to maintain the tax-deferred status of your retirement savings
It's important to note that nothing is one size fits all. Gateway can help you determine if a rollover makes sense for you, and will help manage your IRA to suit your life.
Gateway is here to help you navigate your current retirement plan choices and be a guide to the best options available. We’re only a phone call, an appointment, or email away for a free, no-obligation discussion about what makes sense for your financial situation.