Did you know that you don’t have to leave your 401(k) (or any other employer retirement plan money) in an existing plan if you no longer work for that employer? Whether it’s your plan or it’s inherited, you can legally and advantageously move those funds into a self-directed IRA. From there, you can invest your money in almost anything (click here for what is prohibited). This process is called a “rollover IRA” or 401k Rollover. There are no penalties or taxes to pay for correctly handled rollover accounts.
Here are some of the far more beneficial things you can do with the rollover 401k or IRA which you can’t do with the employer plan:
- Invest the money in non-traditional investments, such as real estate, private placement offerings, a private business, trust deeds, loans to outsiders and many others not listed here
- Invest in physical gold or silver coins and bullion
- Access your IRA for quick cash at pre-retirement ages
- Invest in far safer and/or more profitable investments than the current 401(k) offers.
- Invest in a high interest savings account for IRAs
To begin rolling your 401(k), you will need to fill out two forms: Transfer form and IRA Application. Any IRA custodian company will be able to provide this to you.
The safest way to grow your retirement plan is in a vehicle that will pay you a high fixed interest rate. How else can you plan if you don’t know exactly what you will earn? Realbridge Solutions LLC offers you the ability to buy discounted real estate notes that pay a fixed interest rate.