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Discussion Starter · #1 ·
I've never paid attention to $$$ at all till recently and I'm trying to wise up right quick. I was looking into IRAs and other investment stuff, and went through some old files. I discovered that a letter I never opened from DH's past employer (he quit last year) was actually a statement showing he had several $K in a 401K with them - well, with Fidelity actually, but through them. I seem to remember we put the amount away each month or year that his company would contribute.<br><br>
Anyhooo, can I put this money into something else, or is it stuck there?<br>
thanks!<br>
alison
 

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You can do a "rollover" to an IRA (individual retirement account) with no tax penalties. You can open an IRA with any large firm from Morgan Stanley to Charles Schwab.<br><br>
A good IRA Rep will ask you what your priorities are and help place your funds where it would be right for you.<br><br>
You will be better off to move it from the 401K into an IRA that you can control.
 

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Discussion Starter · #3 ·
Could I do that with ING? I was looking into the Orange thingy. (Yes, I'm so knowledgeable about investing that I've got catchy lingo... not!)<br><br>
So rolling over into an IRA is the only option? I've been wanting to play with the stock market... I promise I'll learn more though before I attempt anything... (Obviously, this will be necessary. My current knowledge of investing is... well... nada... but you have to start somewhere!)
 

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Discussion Starter · #4 ·
And oh, is there a limit on the amount of time that can pass from when you quit your job til you rollover your 401K?
 

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<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7901417"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">Could I do that with ING? I was looking into the Orange thingy. (Yes, I'm so knowledgeable about investing that I've got catchy lingo... not!)<br><br>
So rolling over into an IRA is the only option? I've been wanting to play with the stock market... I promise I'll learn more though before I attempt anything... (Obviously, this will be necessary. My current knowledge of investing is... well... nada... but you have to start somewhere!)</div>
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You can use ING as an investment tool. Just make sure you know what you want to invest in. My suggestion would be that you will want to know what you want to invest in first before you choose an Investor Group. That way you can compare fees etc.<br><br>
ETA: Your IRA investments can be in stocks and mutual funds if that is your investment interest!<br><br><div style="margin:20px;margin-top:5px;">
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<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7901432"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">And oh, is there a limit on the amount of time that can pass from when you quit your job til you rollover your 401K?</div>
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Nope. You should be able to transfer the entire amount that your husband invested from his paycheck plus some that his company contributed. <b><span style="text-decoration:underline;">Just make sure that you are rolling over to an IRA so you don't have tax penalties!!</span></b><br><br>
(PS - I should mention I work with self directed IRA's for a living, that's where I'm getting the info <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/smile.gif" style="border:0px solid;" title="smile"> )
 

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The money has to be rolled into a traditional IRA. From there, if you would want to, you can convert it to a Roth.<br><br>
You CANNOT roll it into INGs Orange account. That is a traditional high-yield savings account. If you DO want to roll it into a savings account, that is going to be considered a "cash-out" of the plan and you will pay up to 50% in penalties and taxes on the money. This is not advisable.<br><br>
You can also roll it into your dh's new employer's 401(k) plan, but there are time limits, so you need to talk to HR about this.<br><br>
I know you said you want to play around with stocks, etc. but you really need to think about investing as a long-term plan. You do not want to PLAY with retirement funds. Once you retire, the money HAS to be there. PERIOD. Or you don't get to retire and you spend your old age working to make end meet.<br><br>
There are also a lot of tax implications outside of retirement, of playing around in the stock market. You're dealing with short-term capital gains, which will cost you a pretty penny at tax time.<br><br>
I suggest learning some about investing before jumping in. I also suggest that you DO NOT toy around with individual stocks unless you have several hundreds of thousands to play with and your retirement is SECURELY provided for.<br><br>
Here are some good reads:<br><br>
A Random Walk Down Wall Street<br>
Investing for Dummies<br>
Mutual Funds for Dummies<br>
Bogle on Mutual Funds<br>
Boglehead's Guide to Investing<br><br>
Where I'm coming from: I've been managing our portfolio for about 15, 20 years and have been very successful through smart investing and thinking long-term.
 

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<div class="smallfont" style="margin-bottom:2px;">Quote:</div>
<table border="0" cellpadding="6" cellspacing="0" width="99%"><tr><td class="alt2" style="border:1px inset;">
<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7901432"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">And oh, is there a limit on the amount of time that can pass from when you quit your job til you rollover your 401K?</div>
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IT DEPENDS!! If you want to roll it into your new employer's 401(k). Check with HR... I'm sure the time has come and gone for that, though.<br><br>
If the amount is less than $5000, there is a new law as of 2005(?) that will do an automatic rollover in to an IRA, so if the amount is less than this, check to see if it has already been converted to a traditional IRA through Fidelity.<br><br>
If it's more, then no, there is no statute of limitations to convert to a traditional IRA. It's just not a simple yes or no answer, though.
 

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Discussion Starter · #8 ·
Thanks for the info! But could you please refrain from YELLING AT ME? Thank you! <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/lol.gif" style="border:0px solid;" title="lol">
 

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<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7903723"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">Thanks for the info! But could you please refrain from YELLING AT ME? Thank you! <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/lol.gif" style="border:0px solid;" title="lol"></div>
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What does that mean? Yelling? Did I miss something? <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/smile.gif" style="border:0px solid;" title="smile"><br><br>
Here's the link the ING orange savings:<br><br><a href="http://home.ingdirect.com/products/products.asp?s=OSAHP" target="_blank">http://home.ingdirect.com/products/products.asp?s=OSAHP</a><br><br>
ING brokerage service has all of its products here:<br><br><a href="http://home.ingdirect.com/products/products.asp#" target="_blank">http://home.ingdirect.com/products/products.asp#</a>
 

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Discussion Starter · #11 ·
WHEN YOU TYPE IN CAPS IT MEANS YOU ARE YELLING! Being a self described computer geek I assumed you knew that and were yelling intentionally. It's considered quite rude. If you must emphasize something it's more polite to add *asterisks* or <i>italicize</i> your words. <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/orngbiggrin.gif" style="border:0px solid;" title="orange big grin"><br><br>
"orange" does not apparently indicate their savings account specifically, it also refers to other products.
 

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Discussion Starter · #12 ·
<a href="http://home.ingdirect.com/products/products.asp?s=IRAOverview" target="_blank">ING Orange Individual Retirement Accounts</a>
 

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Discussion Starter · #13 ·
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<div>Originally Posted by <strong>velochic</strong> <a href="/community/forum/post/7903629"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">I know you said you want to play around with stocks, etc. but you really need to think about investing as a long-term plan. You do not want to PLAY with retirement funds. Once you retire, the money HAS to be there. PERIOD. Or you don't get to retire and you spend your old age working to make end meet.</div>
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I have no intention of gambling with our retirement funds. I would, however, like to "play" with money I've set aside for that purpose. I understand the risk and wouldn't allocate funds for that purpose unless I had enough money available that I wouldn't be devastated by the loss of it. Thank you for suggesting reading material; that should be a good start.
 

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<div style="margin:20px;margin-top:5px;">
<div class="smallfont" style="margin-bottom:2px;">Quote:</div>
<table border="0" cellpadding="6" cellspacing="0" width="99%"><tr><td class="alt2" style="border:1px inset;">
<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7903962"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">WHEN YOU TYPE IN CAPS IT MEANS YOU ARE YELLING!</div>
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No it doesn't. It means you left your caps lock on and you're too lazy to go back and edit.<img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/lol.gif" style="border:0px solid;" title="lol"> Why does everyone have to judge a post instead of taking it for what it's intended. SOrry if I offended.
 

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Discussion Starter · #15 ·
<img alt="" class="inlineimg" src="/img/vbsmilies/smilies/rolleyes.gif" style="border:0px solid;" title="rolleyes">
 

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Discussion Starter · #16 ·
<img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/hug.gif" style="border:0px solid;" title="hug">
 

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<div style="margin:20px;margin-top:5px;">
<div class="smallfont" style="margin-bottom:2px;">Quote:</div>
<table border="0" cellpadding="6" cellspacing="0" width="99%"><tr><td class="alt2" style="border:1px inset;">
<div>Originally Posted by <strong>daekini</strong> <a href="/community/forum/post/7901417"><img alt="View Post" class="inlineimg" src="/community/img/forum/go_quote.gif" style="border:0px solid;"></a></div>
<div style="font-style:italic;">So rolling over into an IRA is the only option? I've been wanting to play with the stock market... I promise I'll learn more though before I attempt anything... (Obviously, this will be necessary. My current knowledge of investing is... well... nada... but you have to start somewhere!)</div>
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Just to clarify, an IRA is a type of account. Once you roll the money into an IRA, you can invest it in a multitude of ways: mutual funds, stocks, bonds, cash, etc. I would recommend putting into a diversified mutual fund such as a Target Retirement account. Individual stocks are much more risky since they are dependent on one company to do well. A good index fund will spread out your risk and that way you can capture the total returns of the market average.<br><br>
I am a big fan of Vanguard and it is very easy to open up an IRA on their site and roll it over that way. (It took me like 10 minutes to do.) They have a huge selection of low-cost funds.<br><br>
I now have a Rollover IRA, Roth IRAs, and a taxable account with them. It is my new passion - instead of spending my extra money on shoes, I get a thrill from investing it. <img alt="" class="inlineimg" src="http://www.mothering.com/discussions/images/smilies/lol.gif" style="border:0px solid;" title="lol">
 

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Call Vanguard. Roll it into an IRA. Just put it in a balanced fund for your intended retirement date.<br><br>
Don't "play" with the stock market. Vegas is a way more fun way to gamble away your savings.
 
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