403 B question
My husband has a 403B that he no longer contributes to because he is with a different company and other 403 B now. It has been hard the last week watching it drop so drastically and we are wondering if we should let it ride or put what is in it into a fixed rate account. He is 55 and won’t be able to draw on it for another 4.5 years. Enjoy hearing your advice on WGN.
Thanks for your input.
Terry Says
OMG — I have ALWAYS suggested that when leaving a company you roll over your retirement plan — 40l(k) or 403b — because company plans are set up for people contributing and accumulating wealth, and thus mostly have aggressive investment choices.
The money should have been — and still should be — rolled over to an IRA at Fidelity or Vanguard. They will handle the paperwork so there is no tax problem.
I have no idea whether the market will bounce back — but I personally doubt it will bounce to its previous levels for many years. So I would advise AFTER the rollover to put half in a money market fund and half in a balanced fund and let time — and America — do its work.
