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It’s your retirement money. Let’s keep it working.
Your job situation has changed, so you have some choices to make regarding your retirement savings. The decision about what to do with this money is an important one. The retirement plan advisors at Standard of (k)are Advisors are here to help you review your options so that you can choose the one that is right for you.
SOK Advisors can assist you by explaining the advantages of keeping your money in a tax-deferred retirement account, such as an individual retirement account (IRA). You may avoid paying early withdrawal penalties and give your assets more time to grow. Additionally, an SOK Advisors educator can explain the pros and cons of remaining in your current plan or rolling your assets into another retirement plan.
If you’re ready to keep your money working—or simply want to discuss your options—call the SOK Advisor Participant Service Line at 866.949.4015 option 1. A SOK Advisor Financial advisor is prepared to answer your questions and assist you with your retirement goals.
You have choices. We’ll help you make the right one.
Compare your rollover options:
Your options
OPTION 1
Rollover to an IRA
Your Most Flexible Option
+ PROS
- Continue any tax-deferred growth
- Avoid early withdrawal penalties
- Have the flexibility to select investment options that fit your specific needs. Your advisor can help you choose from the nation’s leading investment managers
- Choose a Roth after-tax account, if appropriate
- Consolidate your retirement assets in one convenient place as you change jobs
– CONS
- Can’t borrow against your assets
- Annual fees and/or commissions may apply, and may be higher than your plan
Your options
OPTION 2
Remain in Your Plan
+ PROS
- Continue any tax-deferred growth
- Avoid early withdrawal penalties
- Move your savings to another retirement plan later
- Have continued access to you plan
- Protection from creditors
- May have lower fees
– CONS
- Limited to the plan’s investment options
- May not be able to remain in the plan if your account is less than $5000
- You can’t take a loan against your old 401(k) plan
Your options
OPTION 3
Rollover to Another Employer’s Plan
+ PROS
- Continue any tax-deferred growth
- Avoid early withdrawal penalties
- May be able to consolidate your retirement assets in one account
- May be able to borrow from the plan
- Protection from creditors
- May have lower fees
– CONS
- Limited to the investment options offered by the plan
- May have limits on how you move your money between the investment choices in the plan
FINAL OPTION
Take a Distribution in Cash
You can decide to take the money out of your plan. Taking a distribution in cash means you will have some money right now. But this option can come with a price.
For example, if you are under age 59 ½, a 10% early withdrawal penalty may apply; your distribution may also be subject to state and federal taxes. In addition, you may also owe a mandatory federal withholding tax.
If you are thinking about cashing out, be sure to factor in these penalties and consider if you would be better off keeping your money invested for the long term.
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