Home > Blog > Business > The Little Known Way to Rollover 401k Funds

If you’re like most Americans, the majority of your retirement savings is invested in a company 401k plan. But what if you decided you wanted to take some those funds, diversify your portfolio, and invest them in something other than mutual funds, company stock, stocks, or bonds? What if you wanted to take some of those funds and invest them in a fixed indexed annuity in order to pay yourself a lifetime income payment along with your Social Security benefit, drawing two checks for the rest of your life?

A small percentage of companies offer an in-service distribution from your 401k if you’re 59 ½ years old. Historically, you couldn’t access your 401k funds until you were laid off, fired, or retired – until now. If your retirement plan is governed by the Employee Retirement Income Security Act (ERISA) as most plans are and you are married, you can use an In-Service Alternate Rollover (ISAR) to rollover 100% of the vested funds in your 401k to an equivalent qualified option without incurring taxes or penalties.

An ISAR is a proprietary program very few advisors are certified to execute on behalf of clients but is a court-ordered option that enables you to rollover a portion of your 401k funds to other qualified options such as a fixed indexed annuity or precious metals. You can rollover some of your 401k, tax and penalty free and continue to participate in your 401k, taking advantage of matching contributions and the other benefits you’ve enjoyed.

Call me today to begin the ISAR process so that you can gain more control of your 401k and further diversify your retirement assets. It’s your money . . . until you give it away.