Which account type should I open to complete my 401K rollover?

Generally, individuals keep the same tax treatment (Traditional vs. Roth) when rolling over a retirement plan. Before getting started, make sure that your Swell IRA type (Traditional v. Roth) matches your retirement plan.

Traditional (pre-tax): The most common type - contributions are made with pre-tax dollars. You'll pay the tax when you withdraw funds during retirement.

Roth (post-tax): Contributions made with money that's already been tax deducted

 

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*Applies to rollover contributions after December 18, 2015. For more information regarding retirement plans and rollovers, visit Tax Information for Retirement Plans on the IRS website.
** Only one rollover in any 12-month period. However, you can likely do a “trustee-to-trustee transfer” between IRA’s, which are not limited.

 

 

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