Author Topic: In-Service Retirement Withdrawal  (Read 1576 times)

Workinghard

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In-Service Retirement Withdrawal
« on: March 30, 2014, 05:38:47 PM »
I was looking at my husband's 401k and he can do an in-service withdrawal up to 275k. We want to do a tIRA rollover from his 401k to Vanguard due to lower fees. If we were going to park the money in a IRA money market acct., what amount would you suggest moving weekly or monthly for dollar cost averaging?

cgc007

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Re: In-Service Retirement Withdrawal
« Reply #1 on: March 31, 2014, 05:11:10 AM »
In my mind the problem with trying to do DCA between two different investments raises multiple problems.

Ideally, you want to sell high and buy low. If they're invested in similar products, that is going to be extremely difficult to time, and by trying to time it, you'll likely lose money.

I would just roll the entire amount over to the new account with Vanguard whenever you make the decision to do so. If anything, you'll quit paying the higher fees sooner, which will save you more money than timing will.

TomTX

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Re: In-Service Retirement Withdrawal
« Reply #2 on: March 31, 2014, 07:20:21 AM »
Roll it all at once and be done with it. It's not worth the time, risk or effort to do anything else.

Workinghard

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Re: In-Service Retirement Withdrawal
« Reply #3 on: March 31, 2014, 08:18:46 PM »
Sorry if my post was confusing.  I am going to roll over the full available amount and have decided to put 275k in Vanguards Short Term Corporate Bonds as it's a little better rate than a MMF. I'm looking at 30k in the life strategy Growth fund.  I'll also be moving another 170k to the growth fund but didn't know if I should do 10k a month or a larger sum.