Your Guide to Seamlessly Rolling Over an Old 401k into an IRA

Don’t Let That Old 401k Collect Dust—Put It to Work for Your Future

Life moves fast. New job, new city, maybe even a new career path. But what happens to the 401k you left behind at your old employer? If you’re like many people, you might not be sure what to do with it—or maybe you’ve just been putting it off.

The good news? Rolling over an old 401k into an IRA is a smart move that can give you greater control over your retirement savings and set you up for long-term success.

At B.I.G. Investment Services, we specialize in helping individuals like you make the most of their retirement assets. Whether you’ve switched jobs recently or you’re just ready to get organized, we’re here to walk you through every step of the IRA rollover process—with clarity, confidence, and care.

Let’s dive into this complete 401k to IRA rollover guide so you can make the best decision for your financial future.

What Is a 401k Rollover (and Why Should You Consider It)?

A 401k rollover simply means transferring the money from your old 401k plan into another retirement account—most commonly, an Individual Retirement Account (IRA).

You might consider a rollover if:

• You’ve recently left a job or changed employers

• You want to consolidate retirement accounts for easier management

• You’re looking for more investment options than your old 401k plan offers

• You’re aiming to reduce fees and get personalized investment advice

Leaving a 401k with a former employer might seem harmless, but it can limit your investment flexibility and make your finances harder to manage in the long run. Rolling over to an IRA puts you back in control.

Rolling Over an Old 401k into an IRA: Step-by-Step

We get it—anything involving retirement accounts can feel complicated. But rolling over an old 401k into an IRA can be smooth and tax-free if you follow the right steps.

Here’s your roadmap to a stress-free rollover:

Step 1: Open an IRA Account

First things first: if you don’t already have an IRA, you’ll need to set one up. Don’t worry—it’s easier than you think. IRAs come in two main types:

• Traditional IRA: Your retirement dollars stay tax-deferred, meaning you won’t pay taxes on the money until you start withdrawing it in retirement.

• Roth IRA: You contribute with after-tax dollars now, but the big perk is that withdrawals in retirement are completely tax-free.

Not sure which IRA is right for you? No problem. This is where a trusted financial advisor—like our team at B.I.G.—can help you weigh your options and make the best choice for your future.

Step 2: Contact Your Old 401(k) Provider

Now that your IRA is ready, it’s time to reach out to your old 401(k) provider. This is usually the company that managed your retirement plan at your previous job. Give them a quick call or check their website to request a rollover form. Be sure to specify that you want a direct rollover.

Why is this so important? A direct rollover sends your 401(k) funds straight to your new IRA provider without you ever touching the money. This keeps things simple, avoids unnecessary taxes, and ensures your savings stay intact.

Pro Tip: Avoid having a check made out to you. If you receive the funds directly, it could trigger taxes and penalties if not handled correctly. Save yourself the stress and stick with the direct rollover option!

Step 3: Choose a Direct Rollover to Avoid Extra Taxes and Penalties

When you choose a direct rollover, you’re keeping things clean and efficient. Here’s why it’s the way to go:

✔️No taxes withheld: You avoid the 20% mandatory tax withholding that happens with indirect rollovers.

✔️No early withdrawal penalties: Your money stays in your retirement account, safe from unnecessary fees.

✔️Peace of mind: You don’t have to worry about meeting tight deadlines or accidental missteps.

If you’re considering an indirect rollover (where the funds are sent to you first), keep in mind that you must deposit the money into your IRA within 60 days. Miss that deadline, and you could face penalties and taxes.

While it’s technically an option, it’s a riskier route—not ideal if you want a stress-free experience.

Step 4: Invest Your IRA Funds with Purpose

Once your IRA is funded, the money won’t automatically start growing—you’ll need to invest it. Think of this as your opportunity to design a retirement portfolio that aligns with your goals and timeline.

Here’s where you can customize:

• Stocks and bonds: Balance growth potential with stability.

• Mutual funds and ETFs: Diversified investments managed by professionals.

• Real Estate Investment Trusts (REITs): A way to invest in real estate without owning property.

• Target-date funds: Tailored to your retirement year, offering a “set-it-and-forget-it” approach.

If you’re not sure where to start, don’t sweat it. This is another area where a financial advisor can step in to guide you. They’ll help you build a portfolio that reflects your unique goals, risk tolerance, and timeline.

Benefits of Rolling Over to an IRA

There are plenty of compelling reasons to roll over an old 401k into an IRA—and most boil down to control, flexibility, and efficiency.

✔️ More Investment Options

Ever feel stuck with the same limited investment choices in your old 401(k)? Most plans only offer a handful of mutual funds, which might not align with your goals. With an IRA, you’re in the driver’s seat.

Want to invest in individual stocks, ETFs, or even alternative assets? Go for it. An IRA lets you customize your portfolio to match your vision for the future.

✔️ Simplified Account Management

Tracking down old retirement accounts can feel like a headache, right? Rolling everything into one IRA can save you from juggling multiple logins or statements. Imagine having all your retirement funds in one place—no more searching for passwords or wondering which account has what.

It’s a small change that can bring big peace of mind.

✔️ Potential for Lower Fees

Did you know some employer-sponsored 401(k) plans sneak in extra administrative or fund fees? Those fees can quietly chip away at your hard-earned savings.

With an IRA, you can often find lower-cost investment options, meaning more of your money stays invested and working for you. Over time, those savings on fees can really add up.

✔️ Personalized Investment Advice

Here’s the thing: most 401(k) plans offer cookie-cutter advice based on generic fund options. But your financial goals are unique, and your investment strategy should be too.

When you roll over into an IRA—especially one managed by a professional like B.I.G. Investment Services—you gain access to personalized guidance. Whether you’re saving for a dream retirement or trying to grow your nest egg faster, we’ll help you craft a plan that works for you.

Common Mistakes to Avoid in the IRA Rollover Process

While the IRA rollover process is pretty straightforward, a few missteps can be costly. Watch out for these common pitfalls:

❌ Requesting a check made payable to you instead of the new IRA custodian

❌ Missing the 60-day deadline if you do take possession of the funds

❌ Rolling over into the wrong type of IRA, which could lead to an unexpected tax bill

❌ Neglecting to reinvest the money, letting it sit in cash for too long

❌ Failing to align your investments with your retirement timeline and risk tolerance

The best way to avoid these headaches? Work with a financial advisor who knows how to guide you through the process from start to finish.

How a Financial Advisor Can Help with a 401k to IRA Rollover

You can do a rollover yourself—but why go it alone when you can have expert guidance? At B.I.G. Investment Services, we’ve helped countless clients move their retirement funds without stress or confusion.

Here’s how we make the rollover old 401k process easier:

✔️Evaluate your retirement plan and determine the best type of IRA for your situation

✔️Handle the paperwork with your old 401k provider to ensure a direct rollover

✔️Create a customized investment strategy for your new IRA based on your goals

✔️Monitor performance and adjust your strategy over time

✔️Ensure tax-efficiency throughout the process

You’ve worked too hard for your savings to be mishandled. With us by your side, you can rest easy knowing your rollover is handled with care.

Take Charge of Your Retirement Future—Today

Leaving an old 401k behind may seem harmless, but it could be holding you back from maximizing your retirement potential. Now that you understand how to roll over your 401k to an IRA, you’re in a great position to simplify your finances, expand your investment opportunities, and take full control of your retirement path.

And the best part? You don’t have to navigate this alone.

At B.I.G. Investment Services, we believe retirement planning shouldn’t be stressful—it should be empowering. Whether you’re rolling over one old 401k or several, our team is here to help every step of the way.

Ready to roll over with confidence?

Contact us today for a free retirement account review and personalized rollover strategy.

Disclaimer:Investing in securities involves risks, including the potential for loss of principal. There is no guarantee that any investment plan or strategy will be successful. Boothe Investment Group, Inc. does not provide tax or legal advice. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.