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Returning Member
posted Jan 25, 2021 7:59:22 AM

Solo 401K rollover to IRA

  • I was self employed for a couple of years, 2010-2011.  Created and contributed to a solo 401K account.  Now retired and 70.  Can I rollover that solo 401K to an IRA account and can that rollover be just for a portion of the balance as I sell some of the stock and rollover the cash portion.

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2 Replies
Expert Alumni
Jan 26, 2021 11:55:02 AM

Yes, this should not be a issue.  There is no tax event on the rollover amount.  Since you are over 59 1/2 there should not be a penalty on the funds you withdraw; however, they may be taxed as ordinary income.

 

A Rollover IRA is an account that allows you to move funds from your old employer-sponsored retirement plan into an IRA. With an IRA rollover, you can preserve the tax-deferred status of your retirement assets, without paying current taxes or early withdrawal penalties at the time of transfer. A Rollover IRA can provide a wider range of investment choices that may meet your goals and risk tolerance, including stocks, bonds, CDs and mutual funds.

 

What can you do with an old 401(k)?

  • Roll over your 401(k) to an IRA.
  • Roll over your 401(k) to a new employer's plan.
  • Leave in your former employer's 401(k) plan.
  • Cash out your money.

New Member
Jan 26, 2021 8:31:13 PM

I withdrew my 401 from my thrift savings plan then a month later put into a different  retirement account is this considered to be rolled over and therefore not taxable?