What to do with multiple 401K accounts
I am 68.6 years of age and considering retirement by the end of 2024. I’m still working full time.
I have four traditional (pretax) 401K accounts from past employers. The accounts total 100K to 500K each. My question is, what should I do with them to monetize income without turning them into an annuity? I want to bring them all under one umbrella for ease of management.
I have other financial means and may be able to manage without drawing them down one at a time. But I would like to live off the interest they would produce.
Thank you for your advice.
Terry Says
Well, first of all, you might want to rollover and combine your old 401(k) accounts into one Rollover IRA. Read this for instructions:
https://www.terrysavage.com/rollover-now/
You can not do a rollover with your current account while still working.
That will give you wider choices for investment and make things easier to control. You won’t be required to take withdrawals till at least age 73. So the longer you can keep your money growing tax-deferred — conservatively— the better. You may even put a portion into a MoneyMarket fund — something you won’t find in your 401k choices.
Do this yourself, directly to Fidelity or Vanguard as mentioned in the article. Beware of salespeople trying to “help” you into an annuity! It’s totally unnecessary!
