The One Secret Your Benefits Department Never Told You About Your 401(k)

What if we were to tell you that you could get access to part of your 401(k) today and NOT pay a single penalty to move your funds into an IRA account?  You would think that we were kidding, right?  Unfortunately, most Time Warner employees (CNN, Cartoon Network, Turner, TBS, TNT, etc.) are unaware of a little known rule in your summary plan description of your 401(k) called an “in-service distribution”. Time Warner permits an in-service distribution which would allow you to withdrawal some of your money from the 401k and roll it over to an IRA while you are still employed with the company!  YES, this is 100% TRUE.  Call Fidelity yourself and find out!  By rolling over the assets to an IRA, you can maintain control of how you manage your money. Let’s face it- – some 401k’s are deficient with high fees, limited investment fund choices, and your ability to customize an investment process within your 401k ...

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5 Potential IRA Mistakes

Look out IRA investors because the IRS looks like it will be turning its attention to taxpayers who make mistakes with their IRA accounts. (source: www.wsj.com)    This includes matching distributions to your tax returns, stepped up audits, and tighter reporting overall when it comes to scrutinizing IRA accounts.    As I have shared for the last couple of years on Your Smart Money Moves, the Government is in dire need to increase revenue to balance the budget and pay off our voluminous debt.    One way to do this is to crack down on the mistakes that we make as taxpayers.   Nobody likes coming home and getting a letter in the mail from the IRS.  So here are five mistakes you might be making for the IRS to take a closer look at your tax return. Contributions To Roth IRA Accounts –   While some of you did Roth IRA conversions back in 2010 (and some are still converting), a Roth ‘conversion’ and ...

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