401k rollover? Options

[Seeker]

I'm posting this in the academics forum since we already have so many job threads in here. This might be a question for some of you finance or business majors.

What should I do with my Nortel 401k when I leave? I have a fairly good amount of money in there since Nortel matched my contributions. Should I roll it over to my new company's 401k? Should I roll it over to an IRA? What's a good IRA to roll it into? I haven't made very good interest on my current 401k so I'm pretty pissed at that and I want something with a good return.

[GOB]

if it's an option, i would put it into a roth 401(k). it gives you the ability to contribute after tax dollars, which will make your retirement distributions tax-free. it's more advantageous than a regular 401(k) because you'll probably be in a higher tax bracket when you retire, so you pay less now and won't have to worry about the distributions being taxed--- it's better than a regular roth ira because you can contribute up to 15k per year, as opposed to the normal 4k.

i think the only disadvantage is that it can only be rolled over into a roth ira, not back into a regular 401(k)




and is there a graduated vesting schedule for their contributions into your current plan(are you going to get all of their matched $$ or just a percentage)? just curious

[pebkac]

I'd roll it over into an IRA at a bank. You have a lot more flexibility in regards to being able to access your money when you need to.