$1.8 Million in Multiple 401(k)s - How to Consolidate Without Major Taxes

How to Consolidate Retirement Accounts Without Tax Penalties | Financial Planning Tips
Discover the smart way to consolidate multiple 401(k)s and IRAs without triggering tax events. Our financial advisors break down:
The pros and cons of different consolidation strategies
Why an IRA can be your retirement "lockbox"
Common consolidation mistakes to avoid
How consolidation simplifies retirement planning
Tips for managing Required Minimum Distributions (RMDs)
In this Get Ready For The Future Show highlight, Scott and John dive into this question:
❓ "I have about $1.8 million, but it's scattered among multiple different 401ks and an IRA. What steps should I take to consolidate/simplify my accounts without creating a major tax event?"
💡 Our advisors recommend consolidating scattered retirement accounts into an IRA as a "lockbox" strategy, which avoids tax events while providing wider investment options than typical 401(k) plans. They emphasize that while leaving money in old 401(k)s is legal, consolidation simplifies retirement planning, makes required minimum distributions easier to manage, and prevents the headache of tracking multiple accounts. The only option they strongly advise against is cashing out, which could result in significant tax penalties.
Essential viewing for anyone with multiple retirement accounts looking to simplify their financial life.
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