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How A Rollover Plan Can Help Diversify A Worker’s 401K in Colusa

These days, having a simple 401(k) plan isn’t enough for some people. More workers are on the lookout for financial opportunities that’ll give them more to look forward to when they retire. For many people, the answer to their financial goals is a 401(k) rollover. However, is a rollover 401K in Colusa right for you? The following are a few reasons one may consider this kind of option.

A Chance To Diversify

Most 401(k) plans are straightforward and reliable, but they’re also restrictive. These are employer-sponsored plans so an employer will have an absolute say-so in an employee’s investment options. However, with a rollover 401K in Colusa, an employee will have the opportunity to choose their own investments. They can have a more diversified portfolio that consists of real estate investments, stocks and bonds, annuities and much more.

The Benefit Of Beneficiaries

A lack of flexibility seems to be a common complaint many workers have about 401(k) plans. Employees are allowed to choose a beneficiary for their 401(k) plan upon signing up. If a worker passes away, the savings in their investment plan will go to the person, or persons, chosen as a beneficiary. However, a basic 401(k) plan may not allow you to name contingent beneficiaries or to apply restrictions to those beneficiaries receiving your funds.

More Access To What’s Yours

Even though a 401(k) retirement plan might be designated for an employee they may not have the ability to access their funds whenever they’d like. Certain plans may be subjected to a “blackout period” unexpectedly. During this period, neither changes in investment options, loans requests, trades or any other actions are allowed. Although this blackout period may be temporary, it can still be very inconvenient. However, with an IRA rollover plan these blackouts don’t exist, which helps to maximize a worker’s access to their funds.

Visit us to find out more details about 401(k) plans and what other retirement options may be right for you. Again, 401(k) plans can be limited by an employer and their choices. An IRA rollover allows an employee to diversify their savings and generally have more overall control over their funds. Be sure to speak with your employer and your IRA custodian before making this move.