Author Topic: Roll over of Fidelity 403(b) Question  (Read 1137 times)


  • 5 O'Clock Shadow
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Roll over of Fidelity 403(b) Question
« on: August 31, 2017, 10:44:27 PM »
My wife recently changed jobs and we have a Fidility Freedom account with approximately $100,000. The current expense ratio is .75%. I can do better by rolling it over to Vanguard. I was interested in in the Roth IRA since my plan is to retire around 50 and the ability to access the contributions. The issue though is that we have been renting and our income for the year is going to be around $175k this year. My understanding is that I will also pay taxes on any gains if I roll it into a Roth. Is it taxed at a capital tax rate or at my effective income tax rate? In my situation does the traditional IRA make since?


  • Handlebar Stache
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Re: Roll over of Fidelity 403(b) Question
« Reply #1 on: September 01, 2017, 06:16:37 AM »
Roll it into a traditional IRA. Honestly, if you're happy with Fidelity, you can just roll it into a Fidelity IRA and buy their index funds or ETFs, which have expenses on par with Vanguard. The only reason your expense ratio is that high is because of choices made by your wife's former employer.

Alternatively, if new employer plan is good, ask about rolling into that instead.