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Full Version: Rollover from 401K to ROTH IRA
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Alex Daisy
A participant is still working with the company and has not met the age requirmenmt for an in service distribution.

They want to Rollover their account from the 401k into a Roth IRA , becauase they think Roth IRA offers better investment selections.

Is this Allowed?
R. Butler
I think you anwers your own question --

A participant is still working with the company and has not met the age requirmenmt for an in service distribution.
Alex Daisy
QUOTE (R. Butler @ Sep 11 2009, 11:08 AM) *
I think you anwers your own question --

A participant is still working with the company and has not met the age requirmenmt for an in service distribution.



I agree, but the participant agrees those are the rules for a traditional 401k but with the roth it is different due to it being after tax dollars…

Any help here?
Lou S.
Roth-401(k) are still 401(k) and subject to the same withdrawal restrictions as traditional-401(k). The only difference is the taxation on distribution.

R. Butler
QUOTE (Alex Daisy @ Sep 11 2009, 02:42 PM) *
QUOTE (R. Butler @ Sep 11 2009, 11:08 AM) *
I think you anwers your own question --

A participant is still working with the company and has not met the age requirmenmt for an in service distribution.



I agree, but the participant agrees those are the rules for a traditional 401k but with the roth it is different due to it being after tax dollars…

Any help here?



Any money in the plan whether it be pre-tax, roth, match, profit sharing, rollover, etc. is subject to the rules of the plan. The Summary Plan Description will address when in-service distributions are allowed.
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