[Rose]

I left an employer and have money in their Roth 401k with Fidelity. I’m happy with the investments in a low cost index fund.

My main Roth IRA is with Vanguard. Should I
1. Leave the Roth 401k in place for now

2. Open a new Roth IRA with fidelity and roll it into there

3. Roll it into my main Roth IRA with Vanguard?

Ideally I would like all the money in one account so rolling it into the Vanguard Roth is what I would prefer.

But I don’t want to cash out funds and reinvest lump sum.

I bought in at lower cost basis and feel like I’m missing out on growth if I reinvest lump sum with Vanguard now.

Thoughts? Thanks!

[Joel]

Money is fungible and cost basis is irrelevant in a Roth account….
For simplicity sake, I would sell and roll into the Roth account at the brokerage you prefer.

Don’t leave a trail of 401k accounts ….

[Prasad]

Many of us have accounts with both VG and Fidelity. There was a change made a few years ago with Roth 401k (no RMDs) that makes them enjoy the same benefits as Roth IRAs.

I don’t see any need to make changes since you say you’re also happy with the Roth 401k fund choice.

[Mark]

Move everything “In kind”. There is no cash out a d u lost nothing in growth.

If u had 1000 bucks in checking account and u transfer that money to ur brokerage account, did u lose anything

[Kristen]

You want to do a rollover from your 401k, you don’t cash anything out. I would move it to Vanguard since that’s where your Roth all ready is.

[Eric]

3. I don’t see any downside and you wouldn’t miss out on any growth if you’re just moving it to the same or similar index fund to what it’s in now

[Sean]

No, you would not be missing out on growth if you switched funds, you already have the growth.

Either is fine, but if you’re worried about simplicity there is nothing wrong with moving it all to vanguard.

[Author]

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