How did you qualify for withdrawal under CARES act?
I thought there are some criteria to fulfill…
Can we open IRA online when leaving the employer or there is anything physically required in a branch or they send anything physically to your address?
I thought there is a fee to pay if you are no longer working with the employer and wants to keep 401k account… isn’t it
401ks are managed differently at different companies. You should direct questions about particulars to the plan administrator. I’ve not heard of fees for maintaining a 401k account after parting with an employer.
You can open an IRA even before leaving your current employment. You need to fund it with the proceeds of your 401k within 60 days so as not to be taxed on the 401k withdrawal.
I did that when I switched jobs. I opened an IRA and transferred my 401k from ADP. ADP mailed me a cheque and I had to note down the new account number on the cheque before forwarding it to the new IRA account administrator. You’ve to do this within 60 days of withdrawal.
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