Leaving job, what to do with 401k

[Anonymous]

Hi all,
I'm in my late 20's and leaving my job. I have $4800 in my work-sponsored 401k. Its in a fidelity retirement account. In order to keep it in the work plan, I would have needed at least $5k. Now I need to "roll it over" Problem is, I'm the worst with these things. I don't even know what that means.
I suppose I can speak with someone at Fidelity to go over my options, but wanted to check in here as well. My new job doesn't offer 401k.

[Anonymous]

Call the 800 number for Fidelity. Any of the customer service reps can walk you through rolling it over from a work 401K into a personal IRA. Then you can choose what plan to enroll in and just leave it for years. Let it just accumulate interest and dividends. At your age, you probably want to put it in a higher risk, higher yield mutual fund since those have fund managers who will tend to the account for you, but there are many options.

[Anonymous]

Agree with 10:48 - you just roll it into a personal IRA at Fidelity - I have some accounts with them and like them. (their website is pretty good.) If you like the funds you have now, you might be able to stay with them. (If there's a $5K minimum or $5K would be a good starting point in terms of fees or whatever, can you find $200 to add to it?)

Then you'll just get statements quarterly just like you were doing before.

Does your new job offer any other sort of plan? If they do not, make sure you are still saving. Pre-tax savings is good, but in the absence of that, have Fidelity open a Roth IRA for you and put in the max - they can deduct it from your bank account each month.

[Anonymous]

Just open up an account at Fidelity, Vanguard, etc. Tell them you want to roll it over and they will help you with the investment options. You should probably do some research and familiarize yourself about retirement investments. You may need to go in their office, maybe signs some papers, notarize things and they will contact your current account and take care of everything. Just make sure that the check is not made out to you, but to the new investment account. If by chance they make it out to you, just don't cash it and return to them. Because IRS will tax you for interest and penalty.

[Anonymous]

Ask about their fees before you set up an account. You could also take a tax hit and open a Roth IRA at your bank/credit union. If they send you a check, don't send it back unless they advise you to. Just don't cash it or you will insure taxes and a 10% penalty.