Can your Company Force You To Leave Your 401K?

on April 24, 2018 Comments Off on Can your Company Force You To Leave Your 401K?

One of the questions we hear often is, “Can my company force me to leave my 401K?”

And the answer is, yes, there are certain circumstances where the retirement plan can force you out of the plan regardless of your preference to remain.

According to the IRS, your company can force you out of your plan, but there are certain circumstances where the plan administrator must obtain your consent before making a distribution. For instance, if your account balance exceeds $5,000, the plan administrator must obtain your consent before making a distribution. There are cases that, depending on the type of benefit distribution provided under your 401K plan, the plan may also require your spouses consent before making a distribution. Also, if the balance of your account is under $1,000 the plan administrator can distribute your balance in cash.

There are more conditions and situations when it comes to your employers right to force you out of your retirement plan. If you are interested in hearing more, contact our team. We’d like the opportunity to speak with you and answer your questions. Let’s talk.

CLICK HERE TO CONTACT COURAGE MILLER

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Jase TeamCan your Company Force You To Leave Your 401K?

Waiting 5 Years For Distribution After A Roth Conversion

on April 10, 2018 Comments Off on Waiting 5 Years For Distribution After A Roth Conversion

“What do you mean I have to wait for 5 years after making a Roth Conversion?”

That is a question we answer often with clients after they find out that there is a waiting period for distributions with a Roth conversion. But the fact is, all contributions and conversions into a Roth IRA are required to be held for 5 years before distributions are allowed.  This 5 year period is required for each new contribution and conversion.

To learn more about the 5 year waiting period, click here.

It is important to consider the affects of the 5 year period rule when including a Roth conversion in your planning. It’s why we often say that retirement is more than just putting money into investments. There needs to be a strategy and an often times that means seeking the help of a professional. We’re here for you. If you have questions, let’s talk.

CLICK HERE TO CONTACT COURAGE MILLER

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Jase TeamWaiting 5 Years For Distribution After A Roth Conversion