401K Rollovers - SEF Financial

For many people, the 401k is their most accessible and important wealth building tool. However, when it comes time to take a new job, you will have the opportunity to roll over your 401k to an IRA and SEF Financial’s expertise can help you. As great as the 401k is, rolling over your 401k to an IRA opens up several benefits that are lacking with many 401k plans.

If you choose not to roll over your 401k to an IRA, two of the main options are to stay in your previous employer’s 401k plan or roll over to your new employer’s 401k. Either of these choices comes with possible drawbacks. Read the comparison below and then contact us to discuss the details of your 401k plan to see if a rollover makes sense for you.

Benefits of rolling over your 401k to SEF Financial

1. We have an easy, streamlined process that saves you time. Also, a professional will walk you through the process if you have questions.

2. With a rollover to an IRA, your investment options open up to virtually any stock, bond, mutual fund or ETF. Thus, we can and will create a personalized investment portfolio that matches your goals, age, and risk preferences.

3. You will have access to expert advice from investment professionals. We pride ourselves on making sure everyone gets top level investment expertise. Unlike many 401k plans, you will have no trouble accessing an investment professional.

4. SEF Financial provides the highest level customer service. If you have a question, need a document, or anything else, we’ll be there.

5. SEF Financial has no hidden fees. Our fee structure is completely transparent.

6. Rolling over your 401k will simplify your life. Over your career you will likely work many places. You will be able to roll future 401ks to your IRA and have your investments in one place. This will help you track your investments more easily.

Drawbacks to utilizing your previous or new employer’s 401k provider

1. Paperwork can be tedious and frustrating, while finding a customer service representative to help can take up your valuable time.

2. Investment choices can be limited to just the mutual funds contained in the 401k plan making personalization impossible.

3. With most 401k plans, it’s up to the participant to go it alone. Many don’t offer investment professionals and for those that do, gaining access to them can be difficult.

4. Customer service is typically a maze of automation and frustration.

5. Many 401k plans have fees that are less than transparent and participants often don’t know how much they are truly paying.

6. Having multiple 401ks in multiple places takes up more time, is less organized, and makes it difficult to truly follow the progress of your investments.

Features and fees can vary between 401k plans as well as between 401ks and Rollover IRAs. SEF Financial encourages you to research the features of your 401k and then contact us to compare and help you make a decision about which plan is best for you.

If you would like a free consultation, click here to get started. SEF Financial wishes you the best in your financial journey!!

Disclosure

When we provide investment advice to you regarding your retirement plan account or individual retirement account, we are fiduciaries within the meaning of Title I of the Employee Retirement Income Security Act and/or the Internal Revenue Code, as applicable, which are laws governing retirement accounts. The way we make money creates some conflicts with your interests, so we operate under a special rule that requires us to act in your best interest and not put our interest ahead of yours. Under this special rule’s provisions, we must:

Meet a professional standard of care when making investment recommendations (give prudent advice);
Never put our financial interests ahead of yours when making recommendations (give loyal advice);
Avoid misleading statements about conflicts of interest, fees, and investments;
Follow policies and procedures designed to ensure that we give advice that is in your best interest;
Charge no more than is reasonable for our services; and
Give you basic information about conflicts of interest.

We benefit financially from the rollover of your assets from a retirement account to an account that we manage or provide investment advice, because the assets increase our assets under management and, in turn, our advisory fees. As a fiduciary, we only recommend a rollover when we believe it is in your best interest.

Benefits of rolling over your 401k to SEF Financial

Drawbacks to utilizing your previous or new employer’s 401k provider

Disclosure

SEF Financial can guide your path to achieve your financial goals and objectives.

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