Photo credit: jb

You’ve likely heard the conventional wisdom – “when you leave your job, you should roll over your retirement account”. You may know that it makes sense (or at least you assume it makes sense), but do you know why it’s important? And do you have the first clue as to how to accomplish a rollover? (There may also be times when it doesn’t make sense to rollover, as well.)

Why rollover? Among the reasons that it is important to rollover your retirement account when you leave employment is that you want to have control over your money. If you leave the account with the former employer, you are effectively handing over a portion of the control of your money to the administrator of the employer plan.

This administrator’s primary job is to ensure that the plan remains as effective and efficient as possible, for your former employer.

Keep reading this article on Financial Ducks In A Row.