Changing Jobs
Whether you’re moving to a new position, recently laid off, considering retirement, or changing careers you may have important financial decisions to consider. Let our experienced advisors help you address these considerations.
Employee Benefits
Your transition from your previous job may change your employee benefits. Consider how the change will affect your health insurance, dental and vision coverage, life insurance, disability insurance, and other important insurance coverages. If you are turning 65 you will want to consider medicare advantage and supplement plans. Our experienced staff can review your insurance needs with you to help you make the right decisions.
Employer’s Retirement Plan
Leaving your previous job can leave you with an important decision to make regarding your employer’s retirement plan, including whether to roll over the assets into an individual retirement account (IRA).
You have several options to consider:
Roll it
Consolidating your retirement plan assets into an IRA lets you keep your tax advantages, simplify the number of accounts you have and can expand your investment options. You can also take advantage of one-on-one guidance to customize the investment strategy to your specific situation.
Take it
Taking cash can subject your savings to large tax penalties if you are not 59 1/2 yet. You may also need to consider if you will have enough time to replenish your retirement nest egg. You could spend 20 to 30 years in retirement.
Leave it
If your former employer will let you, you may be able to leave your money where it is. This option is convenient but your previous employer might not make the same choices for your savings as you would. You may not be able to easily adjust your asset allocation in response to market changes, and your beneficiaries may have limited options. Additionally, no one will be actively looking over your account, helping you plan for your future.
Move it
If a new employer offers a 401(k) plan or another tax-deferred savings option, you can move your existing plan assets directly to your new employer’s plan. However, the options in your new plan may be different from those offered in your previous employer’s plan. It may be more advantageous to roll the assets into and IRA while you start another 401(k) with your new employer. That way your money can work for you in two ways and you have more flexibility and options.
Schedule an appointment with one of our advisors to help you with the important decisions your job change has presented.