*Investors Blog*

SC Maintenance said:
The regular Fidelity is light years ahead of schwab. Maybe the 401 interface is different?

The TD ameritrade was better than either. They dumped it. Figures.
Click to expand...

I’m disappointed with Charles Schwab website, user interface is terrible.
Will most likely transfer it to Fidelity.

My Fidelity 401K website is very easy to navigate and use.

Vanguard is very, very basic website and good for simple trading and my largest account.
 
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Warstud said:
You selling bibles ?
Click to expand...
Don't follow.

1711581879618.jpg



A bit of strange question????
 
Question on 401K to IRA roll-over.
Just started thinking of it today. I have a couple 401K accounts with different companies. One of them is Fidelity. I made a brief call to them today asking if and when, I wanted to withdraw money, how to go about that. Guy I spoke with said I would have to roll it into a IRA. I did not realize Fidelity had IRA's at the time. I have only dealt with the 401K.

I pulled up this account after speaking with him. I was always under the impression that you could just make a withdraw from a 401K.
This particular account has a little over $250,000 in it today. Seems to be paying a decent rate right now. I need to call them back and find out what it takes to withdraw $ if I put it into their IRA.

I don't follow the stock markets and am an idiot about investing. I just had the 401K $ put into my age group with them and they allocated where the funds were invested. Thinking they called it cruise control.

I don't see any need for money right now or in the immediate future. Just trying to get my ducks in a row.
Any advice would be much appreciated!
 
Jdeere562 said:
Question on 401K to IRA roll-over.
Just started thinking of it today. I have a couple 401K accounts with different companies. One of them is Fidelity. I made a brief call to them today asking if and when, I wanted to withdraw money, how to go about that. Guy I spoke with said I would have to roll it into a IRA. I did not realize Fidelity had IRA's at the time. I have only dealt with the 401K.

I pulled up this account after speaking with him. I was always under the impression that you could just make a withdraw from a 401K.
This particular account has a little over $250,000 in it today. Seems to be paying a decent rate right now. I need to call them back and find out what it takes to withdraw $ if I put it into their IRA.

I don't follow the stock markets and am an idiot about investing. I just had the 401K $ put into my age group with them and they allocated where the funds were invested. Thinking they called it cruise control.

I don't see any need for money right now or in the immediate future. Just trying to get my ducks in a row.
Any advice would be much appreciated!
Click to expand...
Simple answer: Just have Fidelity (and all your other 401Ks) moved to a Fidelity IRA Brokerage account. Do your Fidelity 401K first and then from that account your can PULL the entire rollover amounts from your various 401Ks. Get all your tax differed money in one pile - easy for you and your loved ones.

Put half in ticker symbol SGOV (0-3 month T bill fund) and half in FZDXX (Fidelity MM)

Super simple. No real growth potential, but super safe. We can talk risk and growth later. Do this first
 
Pablo said:
Simple answer: Just have Fidelity (and all your other 401Ks) moved to a Fidelity IRA Brokerage account. Do your Fidelity 401K first and then from that account your can PULL the entire rollover amounts from your various 401Ks. Get all your tax differed money in one pile - easy for you and your loved ones.

Put half in ticker symbol SGOV (0-3 month T bill fund) and half in FZDXX (Fidelity MM)

Super simple. No real growth potential, but super safe. We can talk risk and growth later. Do this first
Click to expand...
Don't know anything about that, but the last year or so has been getting over 12% growth. I think they have me in pretty conservative investments, due to my age. I have no need for the money now, so no rush. Probably ride it out a couple years. I'm 68 now and think they make me withdraw at 72.

I took my paperwork to an Edward Jones local joint before retiring for a free consultation. He said they had it well allocated, for what that is worth. When he showed me their fees, I shook his hand, thanked him for his time and showed myself the door.;)
 
Jdeere562 said:
Don't know anything about that, but the last year or so has been getting over 12% growth. I think they have me in pretty conservative investments, due to my age. I have no need for the money now, so no rush. Probably ride it out a couple years. I'm 68 now and think they make me withdraw at 72.

I took my paperwork to an Edward Jones local joint before retiring for a free consultation. He said they had it well allocated, for what that is worth. When he showed me their fees, I shook his hand, thanked him for his time and showed myself the door.;)
Click to expand...
You asked

Look at your account- what funds are you in? Fidelity most likely has that or those funds, or close equivalent.
 
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Jdeere562 said:
Question on 401K to IRA roll-over.
Just started thinking of it today. I have a couple 401K accounts with different companies. One of them is Fidelity. I made a brief call to them today asking if and when, I wanted to withdraw money, how to go about that. Guy I spoke with said I would have to roll it into a IRA. I did not realize Fidelity had IRA's at the time. I have only dealt with the 401K.

I pulled up this account after speaking with him. I was always under the impression that you could just make a withdraw from a 401K.
This particular account has a little over $250,000 in it today. Seems to be paying a decent rate right now. I need to call them back and find out what it takes to withdraw $ if I put it into their IRA.

I don't follow the stock markets and am an idiot about investing. I just had the 401K $ put into my age group with them and they allocated where the funds were invested. Thinking they called it cruise control.

I don't see any need for money right now or in the immediate future. Just trying to get my ducks in a row.
Any advice would be much appreciated!
Click to expand...
I'm surprised that they don't have a direct withdrawal option, but I think withdrawal options are plan specific, so terms laid out between Fidelity and your former employer. There is brief mention in section 1 of this article from Fidelity.

www.fidelity.com

How to roll over a 401(k): What to do with an old 401(k) | Fidelity

Do you have an old 401(k)? The financial experts at Fidelity can teach you how to roll over a 401(k) to help you best prepare your retirement savings accounts for retirement.
www.fidelity.com

This article from Fidelity addresses how to make a withdrawal come RMD time from an IRA:
www.fidelity.com

Making sense of RMDs - Fidelity

Understand what RMDs are, how they're calculated, and how Fidelity can help you manage your RMDs.
www.fidelity.com

Which by the way is basically the same way of withdrawing from any account with them.

Rolling over to a Rollover IRA is relatively easy (and super easy if the account is already within Fidelity). I don't actually think with a 401K at another institution you could pull it into Fidelity like a typical cash deposit or a transfer of assets in a money market account or another IRA. I thought you need to contact the existing institution for the 401k and start the rollover process, typically receive a check that is for benefit of you but made out to Fidelity, and send to Fidelity. FYI, if you call up Fidelity they will walk you through the step by step. My wife rolled her previous 401k to IRAs with Fidelity and they were very willing to chat. I spent a little while on the phone with them to make sure I understood what I needed to do to keep pre-tax and Roth dollars appropriately separated, etc.


401k To Rollover IRA | New account steps | Fidelity

A rollover IRA can help you keep a consolidated view of your investments during your career. Here are key steps to take when moving an old 401k into a rollover ira.
www.fidelity.com
 
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99Saturn said:
Rolling over to a Rollover IRA is relatively easy (and super easy if the account is already within Fidelity). I don't actually think with a 401K at another institution you could pull it into Fidelity like a typical cash deposit or a transfer of assets in a money market account or another IRA. I thought you need to contact the existing institution for the 401k and start the rollover process, typically receive a check that is for benefit of you but made out to Fidelity, and send to Fidelity. FYI, if you call up Fidelity they will walk you through the step by step. My wife rolled her previous 401k to IRAs with Fidelity and they were very willing to chat. I spent a little while on the phone with them to make sure I understood what I needed to do to keep pre-tax and Roth dollars appropriately separated, etc.
Click to expand...
Yes you are correct, you need to start the process at the existing 401K place, and all money movement must be quick (60 day max, but still). So set the IRA up first and roll the Fido 401K, then the others will be easy. Get the approval and you should be able to wire transfer in a day without the hassle of a check.

Point being it really is quite easy.
 
I ended up rolling a couple of 401ks into a Fidelity IRA. They assigned me an Account Executive and he assisted me in rolling a couple of other scattered small accounts into my Fidelity accounts also.

The Account Executive has been invaluable in assisting me with small problems. One thing to watch out for is do not let them sell you on a managed account (where you let someone manage your investments for a percentage) or an annuity.

If you are 68 now, your first RMD will be for the year you turn 73. You can put it off until the year after, but then you would have to take two years worth of RMDs in one year. I hit 73 this year and I'll actually be doing that (two RMDs the year I turn 74 instead of one at 73 and 74). Not usually advisable, but special case.

This might be a good time to look into a Roth IRA rollover if you are interested.
 
Pablo said:
Yes you are correct, you need to start the process at the existing 401K place, and all money movement must be quick (60 day max, but still). So set the IRA up first and roll the Fido 401K, then the others will be easy. Get the approval and you should be able to wire transfer in a day without the hassle of a check.

Point being it really is quite easy.
Click to expand...
Agreed it is really easy once done. I remember being a bit stressed not to accidentally mess something up.

For what it is worth for those that are in the situation, the check can be deposited via the Fidelity app, with no dollar limit for a direct rollover. I know for my wife, the 401K would only do a check. Again Fidelity told me exactly what to has to have written on the check, if we needed to write something in the memo etc.

The directions I linked in a previous are very explicit:

Step 3: Deposit your money into your Fidelity account​

You can have the money sent directly to us to deposit into your account, or deposit it yourself. In either case, having the check made payable to Fidelity allows the transaction to be a direct rollover versus a 60-day rollover which often includes taxes being withheld from your rollover amount.

The check should be made payable to Fidelity Management Trust Company (or FMTC), FBO [your name] and does not need to be endorsed. Be sure to ask your former plan administrator to include your IRA account number on the check.
Click to expand...

@Jdeere562 - I adjusted the text above to blue to call out that you want to adhere to the direct rollover aspect, which is also reflected in the second paragraph of Step 3 above. There is no reason that the check would be pay to you, it should be for benefit of (FBO) as instructed above, even though the check gets mailed to you you are never taking possession of the money.

More on direct versus 60-day rollovers here:
www.investopedia.com

The 60-Day Rollover Rule for Retirement Plans

The 60-day rollover rule allows for tax- and penalty-free rollovers from one retirement plan to another. Lean how 60-day rollover rules work and how to use them.
www.investopedia.com www.investopedia.com
 
SC Maintenance said:
Anyone here selling covered calls on stocks they plan on holding? Thinking I really should be doing this on a couple?
Click to expand...
In general I like to get the dividend AND the premium. It's a pain to watch for these opportunities (I am guessing there is some paid service and of course bots doing it, but I am cheap, stupid and slow!!)

For those casual readers, selling call options is not very risky at all. In a nutshell - You are selling the RIGHT but NOT THE OBLIGATION for someone to buy your shares for an agreed price (strike) on or before a fixed date in the future

It goes like this, just say a stock you own went ex-dividend and you are ambivalent about holding or selling. Either is fine.

Say you own 1000 shares of this mythical stock trading at $27 that pays 0.45$/share on the qtr. Ex divi Mar 27 (or thereabout) and pays April 11 (doesn't really matter, it's your dividend, you still owned it). On March 28 (today!) you look at options tables and low and behold there is an April 19, $27.5 strike and the premiums (never great) are decent say .50$. So you sell 10 contracts of 100 (or you could sell someone the right to buy just some of your shares) and you pocket $500.

$950 right there

Now don't forget you paid $25 per share, so you also made $2500 plus earlier dividends and possibly call options previously.

Worst cases in this situation:

1) You completely limit your upside. You must be OK with this. Stock goes to $30+ and up, too bad Chucko.

2) Stock dives. Doesn't matter if you want to keep the stock. Option expires worthless. If you want to get out of the stock you have to buy your option to close, then sell. Usually cheap, but still.

I typed this pretty fast so I may have missed something!!
 
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