Category: 401(k) Resources

Ask Andrew: How To Rollover Your 401(k)

Andrew Meadows / 23 Oct 2016 / 401(k) Resources

You asked I answered!

Rolling over all your old 401(k) and retirement accounts into one sounds like a huge hassle, but one (like saving) is worth the trouble. While every provider has a slightly different process, the same things basically happen. Take a few minutes today to find out what those are and get moving on simplifying your life. After all, managing one account is far better than managing many!

Chad Chats: What Features Should A Small Business Look For In A 401(k)?

Chad Parks / 4 Dec 2013 / 401(k) Resources

The retirement industry is full of options. You can have flexibility on so many things that it may not be clear to the small business what to chose and from whom. In this episode of Chad Chats, from Ubiquity Retirement + Savings, formerly The Online 401(k), you will learn what features make a great plan. Every small business is different, but that doesn’t mean your retirement plan has to be complicated. From investments to plan design, Chad gives you tips on what to ask for when you’re setting up your company’s new retirement account. If you have an existing one, you may learn something that will make managing your current plan even easier.

Here’s to you, small business owner, for setting up the right retirement plan for you and your employees!

Chad Chats: The History of The Online 401(k)

Chad Parks / 9 Oct 2013 / 401(k) Resources

A throwback to Ubiquity Retirement + Savings’ history, here, we get a glimpse at the genesis of our company that started as The Online 401(k).

“In the first episode of Chad Chats, I recount how and why I started The Online 401(k). My mission: to help the 40 million Americans who do not have the ability to save at work. Take less than two minutes and check out the video below!”

Fetch! Sit! Rollover?

Andrew Meadows / 13 Jan 2012 / 401(k) Resources

When asked by friends or colleagues for advice about their 401(k)s, I’m finding that the topic of rollovers is a common one. There are always questions about rollovers because so many just don’t know what to do.

Let’s take a look at a recent inquiry I received via Facebook:

So, I have a question. I have a 401(k) that I rolled over into an IRA at my credit union from a previous employer. In the chance that I am employed by a business that offers a retirement plan, how will I know which one to put my money into? I plan on maxing out my contributions – ’cause I gots some catchin’ up to do.

This is a great question. And it’s timely since this person is looking for a job, which definitely speaks to the state of today’s employment rates and economy. Above all, it’s a question I’ve had a few times.

Bottomline: Should I roll over my money to my new company’s retirement plan or leave it where it is?

I know I need to tread lightly in my response. Yes, I’ve been doing this a long time. Yes, I get excited about it. No, I don’t want to turn them off or bore them with my ramblings.

Rather than telling someone what to do, I’d rather err on the side of letting folks know what to evaluate to make their own decision. Every plan is different in design and offerings. And yes, this will take some work on your behalf, but I’ll tell you exactly what to do.

Step 1: The funds. Your biggest cost in moving your money will be the funds. Look at the funds your old company has, research how much they cost in management fees (e.g., that pesky percentage coming out that’s NOT on your statement, so you need to be sure to ask about it). Then, look at the new plan. If the new one has higher fees, it had better be performing better, too!

Step 2: New plan rules. When you become newly employed, find out the details of eligibility and vesting. Why put money into a 401(k) plan before you’re eligible? That eligibility period is for you and the employer to make sure you’re at the right place, doing the right thing.

Step 3: Your money. Are you looking to roll over pre-tax or post-tax money? Your new plan may have the option to put Roth (post-tax) dollars away, so you should check with your employer. A traditional 401(k) will not accept post-tax money, so unless your new employer offers a Roth option, you may be better off with a Roth IRA.

This conversation can go in many directions after that, but these are just some basics to be aware of. There may even be other options for you that I’ve not listed. In the end, do your homework, know your options, and just think about what’s best for you.

If you have any questions, don’t hesitate to reach out to me here or on Twitter, @coolest401kguy.