As you guys know I have left my job. I have money in a 401K that I may or may not be able to roll over. I can't believe it but the school system here doesn't offer a 401K. They have a state retirement system that I automatically pay 6% of my salary into before I ever see it and the system pays 5% of my salary. Looking at the print out from my 401K last quarter I lost 1.25% but already this quarter I've lost 9.85%. The benefits specialist (at my old job) said I can either leave it where it is but know that with the economy it will continue to decrease since I will no longer be adding to it or I can take it out and pay the penalities which at this time "may be no more than what may happen in the near future." I'm not sure what to do.
My feeling is the economy will stabilize. We are leaving our annuities alone although they have taken some hits too. Talk to your state 'whatever' rep that covers your retirement funds. They will give you the best advice. John retired on a teacher's pension. In our state it isn't too bad but the medical coverage fades away too soon after retirement and you have to get your own. I'm not sure what your state offers.
~Tina
Drama Free Zone. What every gardener loves the most, Begins and ends in rich compost. (Tina)
I got that information from the benefits officer for the county. I get to keep my insurance until I get Medicaid or something like that. I have checked the 401K site and I can not roll it over into this fund.
sheri, you might can roll it over into a certified ira account. that's one of the options available to most people. and if you don't already have one, you can check with your credit union or local bank. most will let you open one with the dispersement. and, if you have it sent directly to the account, you aren't charged penalties. go to your credit union or bank. i learned that when i worked in HR, and that is a federal law, not a local one.
Sheri, Jiffy thats what I did when I left ATT... as long as you don't have possesion of the money and just have it directly disposited there are no penalities-- we did it thru our credit union- was easy- Nana
that is what my DH had to do with his when the compzany he worked for closed the plant where he worked.--We went to a bank and talked to a financial advisor there.--he invested the money for us--and like I say it is in a IRA of some kind.
And yes we took the check we were sdent and it got deposited direct to the bank we chose. The advisor told us how the check had to be made out so as to not incure any penalties.
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Life isn't about how to survive the storm, but how to dance in the rain!! .....
Sheri what ever company handles your 401 k should have all your options and answers,, I.E> mine is Morgan-Stanley I have a broker assigned to my 401 K , you need to get hold of who ever is assigned to your individual account,, you can make changes , put it in secured mutual funds,, an array of options is yours and they should work with you on that, to secure they don't lose you as a holder, and , you probably can't roll it over to your retirement where you are now BUT you can secure it, they should have never told you it will continue to decrease, but instead gave you options on how you can secure it at least to build interest if nothing else. You can pull out * if you're in the right program* to start a business, buy a house, car, pay medical bill, etc without a penalty,
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