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Overall, I feel like it’s getting better.
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Rough out here.
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Sooo AMC.. who’s in?
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I would move it into a Roth IRA instead of a new Roth 401k. You have more control over an IRA since you manage it yourself.
You don't have to but it usually makes sense if your new employers plan has good investment options and reasonable fees. If it is already in Roth you may want to consider rolling to a Roth IRA instead.
I respectfully disagree. As soon as possible, take charge of your money and roll that money over to a Roth IRA. If something happens to this company like restructuring or closing down, it will be more difficult to get your money - not impossible but more challenging. This happened to me with a government contractor that changed contracts, it was very difficult to get a hold of their new HR. However, I eventually got it sorted out.
The key is choosing where to have your Roth IRA. For many years, I hopped between a few well known brokerages (Merrill, JP Morgan, etc). I didn't experience the growth I needed.
I've been with a fiduciary for just the past few years. They make money when I make money. I made more growth with them than I did in 20 years with the "big guys". And thank God because now I'm sick and cannot work.
Best of luck to you!
Do you do backdoor Roth IRA (or are you interested in doing that at some point) ? If so I’d avoid moving your 401k to an IRA since that complicates it. I’d move it to your new employer’s 401k for simplicity so it’s in one place and easy to monitor.
I'll make sure to read on this so I can make an informed decision. Thank you.
Thank you everyone for your inputs. Looks like Roth IRA is the what you're all suggesting. My only question is, I won't get the employer match if it's a Roth IRA than Roth 401k, right?
Got it. Thank you!
Mentor
You should also review if Traditional 401k is better for you than Roth 401k
Most people are in a higher tax bracket when working than they will be in retirement, so Traditional contributions eill give them more money in retirement.
Got it. I think I know what you mean. Thank you.
Subject Expert
As long as the fees are low and the fund options are suitable (low fee total market index funds) it's probably find to leave it with Merrill Lynch, or move it to Fidelity, or move it to a Roth IRA at any major discount brokerage. It may not matter that much.
One consideration is keeping your number of accounts from growing too large.