Money Investing megathread extravaganza - Page 746

**DaFace** · 06:35 PM

A place to talk about investing stuff.

**lewdog** · 08-20-2021, 07:00 AM

Anyone ready to short?!?!

KChiefs1 · 08-20-2021, 07:02 AM

Quote:

Originally Posted by Hog's Gone Fishin

I just watched a video stating AMC will easily go to one million per share. So I think you're right.

Here, I'll just put it up so you won't think I'm a liar.

If it does that I’ll have my own island.

MTG#10 · 08-20-2021, 10:46 AM

Quote:

Originally Posted by KChiefs1

If it does that I’ll have my own island.

It wont/can't.

I really wish these dumbasses would stop with the $100k+ predictions.

-King- · 08-20-2021, 11:20 AM

Quote:

Originally Posted by MTG#10

It wont/can't.

I really wish these dumbasses would stop with the $100k+ predictions.

FUD!

TambaBerry · 08-20-2021, 11:31 AM

Quote:

Originally Posted by -King-

FUD!

I know right to the ****ing moon

KChiefs1 · 08-20-2021, 11:42 AM

Quote:

Originally Posted by TambaBerry

I know right to the ****ing moon

MOASS baby!

ChiefaRoo · 08-20-2021, 01:26 PM

MTG#10 · 08-21-2021, 06:35 PM

Are there any taxes/fees/penalties for rolling over a 401k into a Roth IRA?

The company I work for is being bought out by a much larger company. They said we cant contribute to 401k until we've been with the new company for a year. They gave us an option of rolling our existing 401k's to a new Roth IRA that they will set up, then once we're eligible can roll that money back over to their 401k program. But I just opened my own Roth recently so I figured I might as well dump it into that one.

**DaFace** · 08-21-2021, 06:46 PM

Quote:

Originally Posted by MTG#10

Are there any taxes/fees/penalties for rolling over a 401k into a Roth IRA?

The company I work for is being bought out by a much larger company. They said we cant contribute to 401k until we've been with the new company for a year. They gave us an option of rolling our existing 401k's to a new Roth IRA that they will set up, then once we're eligible can roll that money back over to their 401k program. But I just opened my own Roth recently so I figured I might as well dump it into that one.

Do you know if your 401k is a traditional or a Roth? Traditional is much more common I think (you deduct it from your taxable income), but I would have guessed they'd roll it into a traditional IRA instead of a Roth if that was the case.

To your question, rolling a traditional into a Roth will incur taxes, but then your withdrawals won't be taxed. Rolling a traditional into a traditional won't incur any taxes since the taxation rules basically stay the same.

**Buehler445** · 08-21-2021, 06:56 PM

Quote:

Originally Posted by MTG#10

Are there any taxes/fees/penalties for rolling over a 401k into a Roth IRA?

The company I work for is being bought out by a much larger company. They said we cant contribute to 401k until we've been with the new company for a year. They gave us an option of rolling our existing 401k's to a new Roth IRA that they will set up, then once we're eligible can roll that money back over to their 401k program. But I just opened my own Roth recently so I figured I might as well dump it into that one.

Shouldn’t cost anything, but the basis will be kind of jacked. If you roll a 401k into a Roth the amount in the 401k will be tracked as separate basis. The basis and associated gains will be taxable. Roth contributions and gains won’t.

I don’t know for sure but I don’t think you get the additional benifits roth gets you on the 401k basis.

It’s not a huge deal and you’re sure not the only person to do it. But it certainly adds complexity and makes retirement tax planning tougher.

MTG#10 · 08-21-2021, 07:02 PM

Ugh. So what are my other options if any? Can I just leave it alone and let it continue to grow based on whatever the market does without adding anything for a year then roll it over to the new company's 401k? I guess I could take out what I would be deducting and put it in my personal Roth instead. This shit is stressful, we've bought out multiple companies since I've been there but I've never been part of a company that was bought out by someone else.

**DaFace** · 08-21-2021, 07:05 PM

Quote:

Originally Posted by MTG#10

Ugh. So what are my other options if any? Can I just leave it alone and let it continue to grow based on the market without adding anything for a year then roll it over to the new company's 401k? I guess I could take out what I would be deducting and put it in my personal Roth instead. This shit is stressful, we've bought out multiple companies since I've been there but I've never been part of a company that was bought out by someone else.

It likely won't hurt anything if you can just leave it there, but I'd probably just roll it into a (new) traditional IRA and call it good. I have a trad that I basically just use as a dumping ground for the various 401ks I've had over the years so I don't have to keep track of a bunch of them separately.

Whoever you have your Roth with can help you with the process. They're always more than happy to help you give them more of your money.

**DaFace** · 08-21-2021, 07:06 PM

Quote:

Originally Posted by Buehler445

Shouldn’t cost anything, but the basis will be kind of jacked. If you roll a 401k into a Roth the amount in the 401k will be tracked as separate basis. The basis and associated gains will be taxable. Roth contributions and gains won’t.

I don’t know for sure but I don’t think you get the additional benifits roth gets you on the 401k basis.

It’s not a huge deal and you’re sure not the only person to do it. But it certainly adds complexity and makes retirement tax planning tougher.

You sure you can leave it alone like that? When I talked to Schwab about it, they told me that you have to either leave it traditional or pay the taxes to convert it to a Roth.

**Buehler445** · 08-21-2021, 07:08 PM

Quote:

Originally Posted by MTG#10

Ugh. So what are my other options if any? Can I just leave it alone and let it continue to grow based on whatever the market does without adding anything for a year then roll it over to the new company's 401k? I guess I could take out what I would be deducting and put it in my personal Roth instead. This shit is stressful, we've bought out multiple companies since I've been there but I've never been part of a company that was bought out by someone else.

Depends on the rules. Typically you can leave it in there. Sometimes there are investment minimums, it all just depends on the company.

A traditional IRA will have similar rules, and you can deduct the contributions (6,000 annual limit, much lower than a 401K).

The simplest is probably leave the money where its at and donate to your roth. But you don't get to deduct contributions (if you're needing that or if it even matters)

Second simplist is open a Traditional and roll it there and put your contributions there.

Toughest is rolling it to a Roth.

**Buehler445** · 08-21-2021, 07:25 PM

Quote:

Originally Posted by DaFace

You sure you can leave it alone like that? When I talked to Schwab about it, they told me that you have to either leave it traditional or pay the taxes to convert it to a Roth.

I’ve never done it but my understanding was the basis/gains were tracked separately.

Rules might have changed. Idk. I’ll yield if you talked to Schwab.

06-27-2016, 11:23 AM
DaFace Kind of a mod Join Date: Aug 2005 Location: Donkey Land Casino cash: $386899	Investing megathread extravaganza A place to talk about investing stuff. Last edited by DaFace; 02-19-2021 at 06:35 PM..
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08-20-2021, 07:00 AM	#11176
lewdog Mod Team Join Date: Sep 2011 Location: Valley of the hot as **** Casino cash: $291900	Anyone ready to short?!?!
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08-20-2021, 01:26 PM	#11182
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08-21-2021, 06:35 PM	#11183
MTG#10 Mammoth penis Join Date: May 2006 Location: Springfield Casino cash: $7264386	Are there any taxes/fees/penalties for rolling over a 401k into a Roth IRA? The company I work for is being bought out by a much larger company. They said we cant contribute to 401k until we've been with the new company for a year. They gave us an option of rolling our existing 401k's to a new Roth IRA that they will set up, then once we're eligible can roll that money back over to their 401k program. But I just opened my own Roth recently so I figured I might as well dump it into that one.
Posts: 11,434

08-21-2021, 07:02 PM	#11186
MTG#10 Mammoth penis Join Date: May 2006 Location: Springfield Casino cash: $7264386	Ugh. So what are my other options if any? Can I just leave it alone and let it continue to grow based on whatever the market does without adding anything for a year then roll it over to the new company's 401k? I guess I could take out what I would be deducting and put it in my personal Roth instead. This shit is stressful, we've bought out multiple companies since I've been there but I've never been part of a company that was bought out by someone else.
Posts: 11,434