Can I roll over funds from the employer-sponsored 401(k) I currently have?
After you leave any company where you have a 401(k), you can easily roll over your 401(k) account to an IRA—including to Alto.
A rollover from a 401(k) at a company where you are still employed, however, is usually restricted. These are called in-service withdrawals. They are allowed once you are 59-1/2 years old, have become disabled, or if the 401(k) plan permits (typically up to certain limits). You should ask your company's HR/benefits folks or 401(k) administrator about these options.
If you own a business and participate in a solo 401(k), you may be eligible to roll over a portion of your account into an Alto IRA without incurring penalties. Eligibility and rollover options vary by plan, so we recommend reviewing your solo 401(k) plan documents or contacting your plan administrator to confirm what your plan allows.
Can I leave a portion of my 401(k) in an old employer's plan and roll over the remaining amount to an IRA?
Employer-sponsored 401(k) plans have different rules. For example, some plans offer flexibility to both current and former employees, while others restrict the types of withdrawals you can make—and/or how frequently you can make them. In addition, some plans may allow partial withdrawals. The best way to know for sure is to check your 401(k)’s plan rules.
TIP: The best way to know if you can roll over funds from your sponsored 401(k) is to check your 401(k)’s plan rules.
NOTE: If you find that your 401(k) is not currently eligible for distribution, check out this article to learn about other options for you with Alto.
For detailed instructions on rolling over your 401(k) into Alto, check out this support article.