CNN —When you quit your job, one of the biggest decisions you’ll have to make is what to do about the money in your retirement account if you’ve been saving in your company’s 401(k).
Roll it over to another tax-deferred retirement account such as an IRA or the 401(k) at your new job.
While a majority of 401(k) participants who switch jobs choose the first or second option, a large minority cash out, according to recent studies.
Here’s why: The features of a 401(k) plan may differ from employer to employer.
While many now auto enroll employees in the plan, the default savings rate coming out of your paycheck may differ.
Persons:
you’ve, Robert Persichitte, Tom O’Saben, she’ll, “, ”, Paul Brahim, —
Organizations:
CNN, Vanguard Investments, Yale School of Management, National Association of Tax, Financial, Association, Vanguard, ” Vanguard
Locations:
New York City, Los Angeles, Colorado