3 ms·

I have like 20K in a 401K when I worked at Microsoft a long time ago. This is around the 2008 fiasco. I just converted everything to cash. I didn't do a rollove

I have like 20K in a 401K when I worked at Microsoft a long time ago. This is around the 2008 fiasco. I just converted everything to cash. I didn't do a rollover when I changed employers (I think there is some time limit which I have likely exceeded). I've been trying to figure out if I can make use of that cash. The confusion is that the plan I was in was for Microsoft employees. Can I still use their plan's investment options?? I also don't want to incur any tax implication ... literally the cash has been sitting there for years because I am too stupid to figure out all the details. It is just sad :(

billmalarky 9y ago
> I didn't do a rollover when I changed employers (I think there is some time limit which I have likely exceeded). There are several "timelimit" related aspects to 401k rollovers, neither would apply in your circumstance. You sound anxiety paralyzed like you made some "unfix-able past mistake" and there is zero reason for you to be. > It is just sad :( See my other comment about consolidating all of your legacy 401ks into a single robo-advisor (betterment/wealthfront/etc). It isn't hard, mainly consists of sending a few emails to HR departments and forwarding a few paper checks. Any robo-advisor will have a support team that will hold your hand through the process for free - they want to earn your business.
astrange 9y ago
401k’s don’t have taxes and Microsoft employees don’t get secret better investment options than you do. Just move it into Betterment and forget about it.
- jacalata 9y ago
  Actually they do - the combined Microsoft 401k fund is large enough that they can reduce fees compared to normal places. I think most of the indexes I am invested in were at something like 0.05% costs. It's similar to the benefit of Vanguard Admirals shares.
jacalata 9y ago
This is at Fidelity, right? You can still use the exact same investment options as when you were a Microsoft employee, you just can't add to the account. The Microsoft 401k has some of the lowest fee investment options out there, so when I left MS and analyzed my options, I decided to leave my money in there instead of rolling it over. Do you have a NetBenefits account for the website? If not, you'll have to call Fidelity, but they should be able to sort you out pretty easily.
- throwawaybbqed 9y ago
  Thanks ... this is useful info. I was thinking I'll park the cash in a low-cost market tracking fund. I think markets are overvalued now but better to do this now than waste another decade :/

billmalarky 9y ago

> I didn't do a rollover when I changed employers (I think there is some time limit which I have likely exceeded). There are several "timelimit" related aspects to 401k rollovers, neither would apply in your circumstance. You sound anxiety paralyzed like you made some "unfix-able past mistake" and there is zero reason for you to be. > It is just sad :( See my other comment about consolidating all of your legacy 401ks into a single robo-advisor (betterment/wealthfront/etc). It isn't hard, mainly consists of sending a few emails to HR departments and forwarding a few paper checks. Any robo-advisor will have a support team that will hold your hand through the process for free - they want to earn your business.

astrange 9y ago

401k’s don’t have taxes and Microsoft employees don’t get secret better investment options than you do. Just move it into Betterment and forget about it.

jacalata 9y ago
Actually they do - the combined Microsoft 401k fund is large enough that they can reduce fees compared to normal places. I think most of the indexes I am invested in were at something like 0.05% costs. It's similar to the benefit of Vanguard Admirals shares.

jacalata 9y ago

This is at Fidelity, right? You can still use the exact same investment options as when you were a Microsoft employee, you just can't add to the account. The Microsoft 401k has some of the lowest fee investment options out there, so when I left MS and analyzed my options, I decided to leave my money in there instead of rolling it over. Do you have a NetBenefits account for the website? If not, you'll have to call Fidelity, but they should be able to sort you out pretty easily.

throwawaybbqed 9y ago
Thanks ... this is useful info. I was thinking I'll park the cash in a low-cost market tracking fund. I think markets are overvalued now but better to do this now than waste another decade :/