AXA 403(b)

Question 1

What is the difference between a “transfer and a rollover”?

Answer 1

• The main difference between transfers and rollovers is that you can only transfer money between two retirement accounts of the same type – an old 401(k) to a new 401(k), for example, or one traditional IRA to another traditional IRA.
• If you want to move money between two different types of retirement accounts, however – including 401(k) to IRA – that’s called a rollover.