401(k) Rollover
Also called: 401k rollover, pension transfer, direct rollover
A rollover moves a retirement balance from an old employer's plan into an IRA or a new employer's plan without triggering tax. Always use a direct trustee-to-trustee transfer: an indirect rollover pays you, withholds 20%, and gives you 60 days to redeposit the full amount including the part that was withheld. The reasons to roll are lower fees and wider choice; the reasons not to are the rule of 55 and stronger creditor protection in workplace plans.