How to Get Your Rollover Right

Whether you’re changing employers, or it’s time to retire, you have a lot of things to consider – including what you should do with your retirement savings.

Essentially, there are three options:

• Stay in your current 401(k) plan – Make no changes, keep your current retirement savings in place
• Rollover to a new retirement plan – Transfer your retirement savings from your previous employer’s plan to your new employer’s plan or into an Individual Retirement Account (IRA)
• Cash out – Liquidate your account into cash

Each option comes with its own benefits and drawbacks. Make an informed decision based on your circumstances, your tolerance for taxes, penalties and fees, and your requirements for simplicity, flexibility and security.