After rolling over a 401k you will no longer be able to retire the year you turn 55. Instead, you will have to wait until you are 59.5 years old. So, if you are planning to retire early you might want to keep your 401k where it is. Leaving it where it is isn’t necessarily bad...
As a Financial Advisor, I get this question often. The answer is that it depends on several factors. There are typically four options available for an old 401(K), leave it with your old employer, rollover to an IRA, rollover to a new employer, or cash out of the plan. Let’s look ...
maintaining the 401(k) plan gives you an option tobegin taking distributions prior to age 59½without penalty. If you rollover your 401k to an IRA or to a new employer’s 401k plan, this option is lost.