How to Tax-Optimize Your Retirement Savings Plan while Changing Jobs

From Current on Currency
March 20, 2017 - 8:00am
A job change often opens up new avenues, both in terms of experience and earnings. Most people look for a higher salary when they’re making the switch, but does that always translate into greater savings? Surprisingly, this doesn’t happen too often. You need to make an effort to help your retirement savings stay at par with your increased earnings. Keep Your Personal Finance Strategy on Track with these Tips When you’re changing jobs, there’s a lot to deal with, and managing your retirement nest egg doesn’t typically make it to the top of the list. However, it should be a priority. After all, the money you’ve saved in IRAs, 401k and pension plans is what will keep you financially comfortable and secure after you hang up your boots. Potential taxes and penalties can have a huge impact on your retirement savings unless you handle your 401k savings correctly while switching jobs. Here are some simple ways to keep them from being affected: Don’t Make a Withdrawal We get it. Changing jobs is tough, and you may need some money to help tide you over. However, dipping into your retirement fund should be the very last option. If you cash out ... The post How to Tax-Optimize Your Retirement Savings Plan while Changing Jobs appeared first on Current on Currency.


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