Common 401(k) Rollover Mistakes Costing Americans Billions
Saturday, 3 August 2024, 22:00
Common 401(k) Rollover Mistakes
The Wall Street Journal reported that over four million Americans will reach traditional retirement age in 2024, more than at any other time in history. Workers miss out on billions due to common pitfalls, which typically occur during 401(k) rollovers.
Consequences of Rollover Mistakes
- Financial Losses: Many individuals fail to understand the tax implications of a rollover.
- Missed Investment Opportunities: Not rolling over into suitable accounts can lead to poorly performing investments.
- Fees and Penalties: Switching plans might incur unexpected costs.
In conclusion, awareness and education on the rollover process can help mitigate the risks and protect your retirement savings.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.