New job? Your savings should keep working
If you're like most people, you'll switch jobs about 11 times before you retire.1 And while you’ll have many jobs, you only have one retirement.
As you start preparing for your new career adventure, make sure your workplace retirement savings account keeps working for your financial future.
You have several options related to what you can do with the money in your workplace plan. One way to make sure your retirement account keeps its tax-deferred status is to roll it over to your new workplace plan.2
Consolidating your retirement savings plan balances into your current employer's plan can make life a whole lot simpler, and we help make it easy. Here are three advantages of consolidating your assets.
You are encouraged to discuss rolling money from one account to another with your financial advisor/planner, considering any potential fees and/or limitations of investment options.
1 Convenience
With your retirement savings in one place, you’ll get one statement as well as account access via one website. There are no worries of remembering multiple passwords. And you don’t have to double the effort when making changes to your account, such as updating your beneficiary information.
2 Focus
When your savings are in one spot, it's easier to keep track of how much you have. Plus, you'll get the most accurate estimate of how you're doing against your goals. Check out the retirement income tool on your account home page for help with estimating your retirement income and reaching your goals.
3 Simplicity
It may be easier for you to build your investment strategy when you have one set of investment options. With multiple retirement accounts that don’t include the same investments, it can be challenging to build separate portfolios that are designed to meet your retirement objectives.
1 Source: About.com Careers, http://jobsearch.about.com/od/employmentinformation/f/change-jobs.htm.
2 Withdrawals may be subject to ordinary income tax. Withdrawals made prior to age 59½ may incur a 10% early withdrawal penalty.
Neither Empower Retirement nor its subsidiaries or affiliates provide tax, legal, accounting and/or investment advice. Please consult your tax advisor or attorney for such guidance.
This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for, investment, accounting, legal or tax advice.
Key takeawayUnderstand your options
Remember, we're here to help. You have access to Retirement Consultants who specialize in helping you through this process. Call Empower Retirement at 888-737-4480 between 8 a.m. and 10 p.m. Eastern time (excluding stock market holidays).