If you've landed a new job or you’re retiring, you’re eligible to make some changes to the 401(k) from your previous job. You might be wondering, “how much does it cost?”

The Rollover Is Fee-Free

If you’re transferring your 401(k) to another broker and setting up a 澳洲幸运5官方开奖结果体彩网:tax-advantaged retirement account, there may not be fees.

In fact, the broker might pay you as an enticement for your business. For example, one well-known broker is now offering $600 for a $200,000 deposit. Other brokers offer free investment trades. Regardless of the promotion, you should not pay a fee to roll over an acc✨ount in most cases.

The Account May Not Be Fee-Free

The rollover may be free, but that doesn’t mean the account will be. That old 401(k) had all kinds of 澳洲幸运5官方开奖结果体彩网:fees attached to it: costs for each fund you held, administrative fees, and more. If you’re rolling your 401(k) into your new employer’s 401(k), compare the fees. If the new one is going to cost you more money in fees, you might consider keeping the account where it is or rolling it into something with lower fees, such as an 澳洲幸运5官方开奖结果体彩网:indiv🦩idual retirement account (IRA).

Rolling Over to an IRA

An IRA comes with similar tax advantages, but it’s often not tied to your company benefits package. You may be offered an IRA through your company, but often it’s something you set up on your own. Because it’s self-directed, either you or 澳洲幸运5官方开奖结果体彩网:a financial advisor you choose are managing it. If you’re managing it on your own and purchasing stocks or other no-fee investment vehicles, the only fee you will pay is the transaction fee. If you put money into a 澳洲幸运5官方开奖结果体彩网:mutual fund🅺 or other managed product, you will pay whatever fee is disclosed in the prospectus💞 of that fund.

Even a fee-only financial advisor will likely charge between 1% and 3%—oftentimes lower than the fees associated with an employer-based 401(k). If you’re 澳洲幸运5官方开奖结果体彩网:considering a rollover, an IRAไ might make the most sense when ev✨aluating solely on the basis of fees.

The Bottom Line

You probably won’t pay any kind of transfer fee to roll over your 401(k). However, before moving your money, consider the fees attache🔯d to the new account. If you’re going to pay more, it’s probably not a good financial move♊.

Be aware that this information is based on the most commonꦯ situations. Your financial picture and choices might be different and require you to consider other factors. Speak to a financial advisor whom you trust before making any larꦍge financial moves.