I Have a New Job and an Old Pension — What Do I Do?

Helpful Advice for CRNAs

Given the rise of hospital mergers throughout the US, many CRNAs are trying to figure out how to manage or rollover their retirement funds from old employers to new ones.

Retirement plans are an investment and need to be managed as such.

When figuring out what to do with old retirement accounts and future management of these valuable assets, here are your options.

OPTION ONE: LEAVE THE MONEY IN YOUR OLD PLAN

Old retirement accounts (i.e. 401k, 403b,457, etc) are any funds you no longer contribute to. Rolling over an old account into a new plan may require you to leave a minimum balance behind, which is a downside but it may not be so bad when you consider the alternative —

Holding on to an old frozen account leaves it vulnerable to getting lost or misplaced. If your old company changes providers then your access to information about your savings could be lost. And finding those funds could be a huge pain!

OPTION TWO: ROLL YOUR PLAN OVER TO THE NEW EMPLOYER PLAN

If your employer accepts rollovers may be a good option if the new employer offers an attractive retirement investment plan. Pay attention to the plan’s fees and assess how easy it would be to manage and monitor your investment’s growth.

The value of this option is consolidation. Keeping your retirement savings in one place reduces fees and streamlines the oversight process. If you are not happy with your new employer’s pension options, then there is always a third alternative.

OPTION THREE: ROLLOVER YOUR PLAN INTO AN IRA

Individual Retirement Plans (IRAs) and Roth IRAs tend to offer lower fees and more investment options. The main difference between an IRA and a Roth IRA is the schedule for paying taxes. Working with a financial advisor who understands your overall investment portfolio will help you decide which IRA is best for you.

In either case, option three allows you to consolidate your retirement savings while also giving you more control and oversight regarding this important investment.

Consulting a financial advisor will help you determine the best option for managing your retirement savings. They can also provide valuable guidance on how to implement and manage that rollover process.

If your hospital is merging or if you’re changing jobs and want to know more about taking control of your retirement assets, talk to a CRNA Financial Advisor.

You’ve worked hard for your retirement savings. Make sure they’re protected and positioned for growth.

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