Should you consolidate retirement accounts?
If you’ve been working for many years, you may have accumulated several retirement accounts, such as IRAs and 401(k)s. But you might find it advantageous to consolidate these accounts with a single provider.
Having all your accounts in one place may help reduce the confusion and clutter involved with keeping track of tax documents, statements, fees, disclosures and other important information across multiple accounts.
And by consolidating accounts, you’ll avoid the possibility of forgetting about an old retirement plan. It’s surprising, but many people do indeed abandon accounts.
Also, when you place all your retirement accounts with one provider, you’ll find it easier to maintain a unified investment strategy and to rebalance your portfolio as needed. And it’s possible a new provider may even offer some new investment options.
Finally, when you reach 72 and start taking required withdrawals from your 401(k) and traditional IRA, you’ll find it easier to calculate the right amounts when you’ve consolidated all your accounts.
So, if you do have multiple retirement accounts, give some thought to consolidating them. It may save you time and hassles while also helping you manage your retirement income more effectively.
This content was provided by Edward Jones for use by Bryan White, your Edward Jones financial advisor at 10760 FM 2813, Suite 200 Flint, TX 75762 – (903) 705-6107.