Comments on: Rolling Over My 401(k) To Vanguard http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html personal finance blog with anecdotes, advice and commentary. Sun, 12 Feb 2012 23:30:41 +0000 hourly 1 By: joejoe http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-368629 joejoe Sat, 21 May 2011 00:35:16 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-368629 I am now self employed and transfered my 401k into a rollover IRA at Vanguard. The agent had me actually talk with him on the phone with the John Hancock agent after I had fully set up my rollover IRA account with Vanguard. I had to fill out a form with my old employer to let them know about the transfer. John Hancock sent the balance of the 401k to my former employer HR director and she sent me the check that was made out to Vanguard. This took about three weeks and went as planned, but it does need to be done correctly or you will get an early withdrawal penalty or may have to pay taxes. I am now self employed and transfered my 401k into a rollover IRA at Vanguard. The agent had me actually talk with him on the phone with the John Hancock agent after I had fully set up my rollover IRA account with Vanguard.

I had to fill out a form with my old employer to let them know about the transfer. John Hancock sent the balance of the 401k to my former employer HR director and she sent me the check that was made out to Vanguard.

This took about three weeks and went as planned, but it does need to be done correctly or you will get an early withdrawal penalty or may have to pay taxes.

]]> By: Joel M Miller http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-356703 Joel M Miller Sun, 24 Oct 2010 23:42:46 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-356703 Well, I got burned earlier this year by following instructions carelessly given to me by my personal Vanguard Advisor regarding transfer to Vanguard of my retirement account. The transfer commingled pre- and after-tax monies, costing me an estimated $15,000. Surprisingly, Vanguard's Business Development Group declined to stand behind the advice they had given. A supervisor told me Vanguard does not give tax advice (but admitted that my Advisor had done so, in fact, had to do so to process the transfer), asserted their representative had asked me the required questions (but admitted that he pressed ahead even though I didn't know the answer to a critical question), said she had reviewed voice recordings of my conversations with the Advisor (but refused to make them available to me), and flatly asserted that regardless of what had been said, Vanguard had no responsibility. This is not the first time a Vanguard Advisor has made careless errors with my accounts, but it is the first time (and I think, the last) that I have seen that their investment instructions are given as a "you get what you pay for" freebie. Well, I got burned earlier this year by following instructions carelessly given to me by my personal Vanguard Advisor regarding transfer to Vanguard of my retirement account. The transfer commingled pre- and after-tax monies, costing me an estimated $15,000.

Surprisingly, Vanguard’s Business Development Group declined to stand behind the advice they had given. A supervisor told me Vanguard does not give tax advice (but admitted that my Advisor had done so, in fact, had to do so to process the transfer), asserted their representative had asked me the required questions (but admitted that he pressed ahead even though I didn’t know the answer to a critical question), said she had reviewed voice recordings of my conversations with the Advisor (but refused to make them available to me), and flatly asserted that regardless of what had been said, Vanguard had no responsibility.

This is not the first time a Vanguard Advisor has made careless errors with my accounts, but it is the first time (and I think, the last) that I have seen that their investment instructions are given as a “you get what you pay for” freebie.

]]> By: aua868s http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-339784 aua868s Sun, 07 Mar 2010 21:53:29 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-339784 with some of the lowest expense ratio, vanguard is the way to go to 401k rollovers with some of the lowest expense ratio, vanguard is the way to go to 401k rollovers

]]> By: roman http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-62935 roman Wed, 24 Jan 2007 01:29:36 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-62935 this is a very important topic. many people get taxed out of their minds because they did not know the proper procedure. this is a very important topic. many people get taxed out of their minds because they did not know the proper procedure.

]]> By: EMF http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-62854 EMF Tue, 23 Jan 2007 18:19:47 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-62854 I went through the rollover process recently. Had a bit of trouble understanding how the process was to work. But basically I first created the rollover account at Vanguard, unfunded to begin with. I then asked the 401k administrator to cut a check made out to Vanguard as my IRA custodian as per Vanguard's instructions. The check was mailed to me. I then mailed it to Vanguard along with a filled-out form that I downloaded from Vanguard's website. Vanguard was prompt at crediting my account with the funds. The 401 administrator was not quite as prompt at mailing the check to me. I then did a conversion on part of my rollover account to my Roth IRA. I went through the rollover process recently. Had a bit of trouble understanding how the process was to work. But basically I first created the rollover account at Vanguard, unfunded to begin with. I then asked the 401k administrator to cut a check made out to Vanguard as my IRA custodian as per Vanguard’s instructions.

The check was mailed to me. I then mailed it to Vanguard along with a filled-out form that I downloaded from Vanguard’s website. Vanguard was prompt at crediting my account with the funds. The 401 administrator was not quite as prompt at mailing the check to me.

I then did a conversion on part of my rollover account to my Roth IRA.

]]> By: Tinyhands http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-62814 Tinyhands Tue, 23 Jan 2007 15:34:47 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-62814 For those of you trying to decide how to invest your retirement funds, I'll throw out this little reminder: Consider your retirement portfolio as a whole. If you have $10k in your current 401k and $10k in a rollover IRA, you have a $20k portfolio and should diversify (and rebalance) it appropriately. Since your current 401k election options (assuming you're with an employer who offers a 401k) are probably limited to a few simple choices [index, growth, balanced, etc] you should probably be investing your rollover IRA in such a manner that diversifies your 401k election(s). For those of you trying to decide how to invest your retirement funds, I’ll throw out this little reminder: Consider your retirement portfolio as a whole. If you have $10k in your current 401k and $10k in a rollover IRA, you have a $20k portfolio and should diversify (and rebalance) it appropriately.

Since your current 401k election options (assuming you’re with an employer who offers a 401k) are probably limited to a few simple choices [index, growth, balanced, etc] you should probably be investing your rollover IRA in such a manner that diversifies your 401k election(s).

]]> By: nelson http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html/comment-page-1#comment-62803 nelson Tue, 23 Jan 2007 14:58:48 +0000 http://www.bargaineering.com/articles/rolling-over-my-401k-to-vanguard.html#comment-62803 Hey Jim! I just got back into my rss reader and saw your site...completely forgot about it. Looks like it's going well. As a fellow quitter, I rolled over my 401(k), but did it all from our previous company's website and I had the check sent to an E*trade rollover IRA account (I know people love Vanguard, but I've had funds there for a while so I get some breaks). I was a little anxious while my check was in the mail, but it made it to my account one day later than I anticipated it would and that put me at ease. ETrade even gave me a call to let me know it was received. Now I just need to decide where to put my money. Can't wait for you to write up a nice post about turning a traditional IRA into a Roth IRA....and the tax implications to that process. Hey Jim!

I just got back into my rss reader and saw your site…completely forgot about it. Looks like it’s going well.

As a fellow quitter, I rolled over my 401(k), but did it all from our previous company’s website and I had the check sent to an E*trade rollover IRA account (I know people love Vanguard, but I’ve had funds there for a while so I get some breaks). I was a little anxious while my check was in the mail, but it made it to my account one day later than I anticipated it would and that put me at ease. ETrade even gave me a call to let me know it was received. Now I just need to decide where to put my money.

Can’t wait for you to write up a nice post about turning a traditional IRA into a Roth IRA….and the tax implications to that process.

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