Understanding 401(k) & TSP Options

A 401(k) is an employer retirement plan in the private sector; the TSP (Thrift Savings Plan) serves federal employees and members of the uniformed services.

A rollover is one option when employment or retirement circumstances change. Depending on plan rules, alternatives can include leaving funds in the current plan, transferring to another eligible employer plan, or using an IRA. Costs, investment choices, withdrawal rules, creditor protections, and tax treatment can differ.

DNA Financial & Associates explains general rules and tax considerations. Personalized recommendations about whether to roll over and how to invest the assets are provided separately through Wealth Watch Advisors, Inc. A rollover is not required to receive education or a benefits review.