Suppose you are changing jobs or retiring, and you have actively participated in your employer's retirement plan. Your employer may require that you receive a distribution from your plan when you leave.
You now have several key decisions to make about the amount of your retirement savings that were in the plan:
Prior to rolling over assets from an employer-sponsored retirement plan into an IRA, it's important that you understand your options and do a full comparison on the differences in the guarantees and protections offered by each respective type of account as well as the differences in liquidity/loans, types of investments, fees and expenses, services, withdrawal penalties, protection from creditors and legal judgments, required minimum distributions, possession of employer stock and reduction/elimination of guaranteed benefits from the pension plan.
Today, you may no longer rely on just your company pension and Social Security to provide adequate funds for retirement. You should consider developing a retirement investment plan that makes maximum use of available tax benefits, so that your retirement assets will grow more quickly.
Lincoln Investment has specialized since 1968 in providing retirement planning services. A Lincoln Investment financial advisor looks forward to working with you to explore the opportunities offered by a rollover IRA.