Combine rollover IRA’s
Combine rollover IRA’s
Have two rollover IRA’s from having rolled over 2 previous 401Ks (different employers). Any reason to combine vs keep separate? (Traditional, not Roth)
1) Invest you must 2) Time is your friend 3) Impulse is your enemy 4) Basic arithmetic works 5) Stick to simplicity 6) Stay the course. (Plagiarized, but worth stealing)
Re: Combine rollover IRA’s
No reason not to combine (for simplicity).
It may make sense to keep a rollover segregated from an account with contributions for reasons of ERISA protection or you want to roll the money back into a 401K or TSP.
It may make sense to keep a rollover segregated from an account with contributions for reasons of ERISA protection or you want to roll the money back into a 401K or TSP.
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Re: Combine rollover IRA’s
These days some 401k plans allow you to roll in funds from traditional IRA accounts, but IMHO keeping your rollover account separate is probably a good just-in-case thing.
Re: Combine rollover IRA’s
Both accounts are rollover, no further contributions
1) Invest you must 2) Time is your friend 3) Impulse is your enemy 4) Basic arithmetic works 5) Stick to simplicity 6) Stay the course. (Plagiarized, but worth stealing)
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RickBoglehead
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Re: Combine rollover IRA’s
There is no reason you cannot combine them, as has been stated.
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DivesEtPauper
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Re: Combine rollover IRA’s
I had this same scenario. Some years back, I left a job and rolled a 401k into a traditional IRA. Some years after that, did the same thing again, so I ended up with two traditional IRA accounts, with two different companies.
Over the years there were various mergers, and I ended up with both IRAs at a single company (Invesco, I think it was), though they still treated it as two accounts. A few years after that, I transferred the whole thing to Vanguard, so I now have one traditional IRA (different funds of course). Had a little hassle due to minor name differences (missing a middle initial on the one account), but ultimately worked just fine.
Over the years there were various mergers, and I ended up with both IRAs at a single company (Invesco, I think it was), though they still treated it as two accounts. A few years after that, I transferred the whole thing to Vanguard, so I now have one traditional IRA (different funds of course). Had a little hassle due to minor name differences (missing a middle initial on the one account), but ultimately worked just fine.
Re: Combine rollover IRA’s
If a roll both to a 401K, I should be eligible for backdoor Roth IRA again?
1) Invest you must 2) Time is your friend 3) Impulse is your enemy 4) Basic arithmetic works 5) Stick to simplicity 6) Stay the course. (Plagiarized, but worth stealing)
Re: Combine rollover IRA’s
To the extent that you have no other traditional IRA funds.
My point about rolling in traditional IRA funds is that I was in a plan which allowed this, so I used that option to shift all of my pre-tax IRA funds to the 401k so I could do backdoor Roth.