Dbltrbl1976
Dec 22, 2010, 03:28 PM
I am rolling over my 401k into an IRA, Maybe a Roth but I am wondering if I have to contribute money each month or does it use my original rollover amount each month?
Thanks for your time,
Sincerely,
Michele
ebaines
Dec 22, 2010, 03:39 PM
Contributions are not mandatory to an IRA. You can make additional contribiutions whenever you desire, up to the limit of $5K/year ($6K if you are 50 or older).
I don't understand what you mean about an "original rollover amount each month" - please clarify. Remember that a roll-over is a one time event, where you transfer your 401(k) account assets into a new rollover IRA account. Once the assets are rolled over, the original 401(k) account is considered closed.