|
Posted by on April 6, 2007, 11:58 am
I went to my bank to have them help me consolidate my old 401K and
roll them over to an IRA. The guy told me that they will not send the
check directly into my IRA account, but I have to request the check
directly from the companies and have the check sent to me, and then i
bring the check to the bank. This seems scary because i'm worried sick
that I'll forget and have to pay 50% tax!!
Also, what other things I should be worried about in terms of fees
when I invest these funds in my IRA? i've never dealt with a bank for
mutual funds or IRA before, but since i tend to forget about them and
just leave them there, I figure I should have someone give me a little
advice?
Should I make him help me select no load funds? Is he gonna take a %
of my investment gain as commision??
|
|
Posted by Elizabeth Richardson on April 6, 2007, 12:26 pm
> I went to my bank to have them help me consolidate my old 401K and
> roll them over to an IRA. The guy told me that they will not send the
> check directly into my IRA account, but I have to request the check
> directly from the companies and have the check sent to me
If that's the way your bank operates, I would find another company to handle
your IRA. It would appear they don't have the knowledge or expertise to do
this. I have rolled over a 401k from two different employers, and in either
case they were quite willing to forward the funds directly to the IRA. Try
one of the big mutual fund companies: Vanguard, Fidelity, or TR Price.
Elizabeth Richardson
|
|
Posted by on April 6, 2007, 1:38 pm
wrote:
>
>
> > I went to my bank to have them help me consolidate my old 401K and
> > roll them over to an IRA. The guy told me that they will not send the
> > check directly into my IRA account, but I have to request the check
> > directly from the companies and have the check sent to me
>
> If that's the way your bank operates, I would find another company to handle
> your IRA. It would appear they don't have the knowledge or expertise to do
> this. I have rolled over a 401k from two different employers, and in either
> case they were quite willing to forward the funds directly to the IRA. Try
> one of the big mutual fund companies: Vanguard, Fidelity, or TR Price.
>
> Elizabeth Richardson
Wow, i'm really surprised with them then... maybe i'll just do it with
vanguard.
But i do like it when there is a person to help me out... too bad
then.
|
|
Posted by waphylz@aol.com on April 6, 2007, 1:38 pm
wrote:
>
>
> > I went to my bank to have them help me consolidate my old 401K and
> > roll them over to an IRA. The guy told me that they will not send the
> > check directly into my IRA account, but I have to request the check
> > directly from the companies and have the check sent to me
>
> If that's the way your bank operates, I would find another company to handle
> your IRA. It would appear they don't have the knowledge or expertise to do
> this. I have rolled over a 401k from two different employers, and in either
> case they were quite willing to forward the funds directly to the IRA. Try
> one of the big mutual fund companies: Vanguard, Fidelity, or TR Price.
>
> Elizabeth Richardson
Having recently done the same thing 3 times over the past 3 years, I
can tell you that many companies will not do direct roll-overs.
However, it's not that difficult to handle. The sending 401K company
will ask you how the check should be made out. Your IRA bank/mutual
fund company can help you on exactly how they'd like to see the check
addressed. This information should be the name of your IRA bank,
mutual fund company, etc; name on IRA (presumably yours); and your
account #. Then your 401K company sends you the check..
For example: if you are transferring from your company's 401K to a
Vanguard IRA, you first have to open the Vanguard IRA, which will give
you an account #. Then you tell your company to make the check
payable to Vanguard Fiduciary Trust Co, For Benefit of (YOU), Vanguard
acct. # XXXXX, and your address. Then you just take the check and via
a simple transmittal letter, forward the check to Vanguard for deposit
in your account. No taxes will be withheld because the check is not
made out to you, but to your IRA (rollover) account. You do have to
remember to send the check to Vanguard (or whomever), but hopefully
that's something that will be a priority when you receive the check
from your 401k company...
|
|
Posted by Mark Bole on April 6, 2007, 8:55 pm
waphylz@aol.com wrote:
[...]
> Having recently done the same thing 3 times over the past 3 years, I
> can tell you that many companies will not do direct roll-overs.
Having done the same thing twice in the last five years, I can tell you
that many companies both large and small will do direct rollovers. (I
dunno, do three companies and two companies constitute "many"?) If your
company won't (via the custodian they have hired to handle the
accounts), then all the more reason why it's a good thing you're not
working there anymore!
There may be some requirements for a spousal sign-off on the rollover if
married. I'm not sure if this depends on state law or what.
> For example: if you are transferring from your company's 401K to a
> Vanguard IRA, you first have to open the Vanguard IRA, which will give
> you an account #.
How do you open the IRA without putting any money into it?
-Mark Bole
|
| Similar Threads | Posted | | Any reason to roll a 401k into a separate IRA account? | January 8, 2008, 5:01 am |
| Re: Any reason to roll a 401k into a separate IRA account? | January 8, 2008, 12:30 pm |
| 401k rollover into 401k or IRA question | January 12, 2007, 3:33 pm |
| 401k question | April 10, 2007, 10:42 am |
| 401k question | May 6, 2007, 6:32 am |
| 401k question | January 2, 2008, 7:17 pm |
| 401k and IRA question. | March 12, 2008, 2:32 pm |
| 401k question | May 28, 2008, 5:05 am |
| IRA and Roll Over IRA | August 30, 2007, 4:21 pm |
| can I roll over 403b funds to open an IRA | April 6, 2007, 9:25 am |
|
|
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap