What Happens to My 401(k) When I Leave My Job?
One of the most common questions I hear is:
"I left my job...what happens to my 401(k) now?"
The good news is that your retirement savings don't simply disappear because you've changed employers.
Depending on your situation, there may be several options available. Those options can vary based on your employer's plan and your personal financial goals.
Before making any decisions, it's important to understand:
✔ What happens if you leave your money where it is
✔ Whether moving it to a new employer's retirement plan is an option
✔ When an IRA rollover may make sense
✔ Why cashing out early can have significant tax consequences and possible penalties
Every person's circumstances are different, and understanding your available choices is an important first step.
If you've recently changed jobs—or still have retirement accounts from employers years ago—it may be a good time to review your options.
Knowledge leads to better financial decisions.
