IMQ Strategy #26: Exiting 401(k) Plans with Limited Investment Options

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  • Post last modified:September 1, 2023

401(k)s provide limited investment options. Under your management, your clients retirement can grow at a much higher rate than it could in a 401(k).

For example:

George’s 401k Plan has limited investment options.  He had a great experience with his personal financial advisor who helped him manage his other brokerage account to large growth.  He would like to put more of his funds with his financial advisor, but the rest of his funds are held in his inadequate 401k plan. In fact, George only puts the minimum in his 401k to get the company match because he doesn’t like its investment structure.

The In Marriage QDRO® is here to help George meet his retirement needs. You can help George take up to 100% of his 401(k) balance and put it in an IRA in his wife’s name under your management.  With the proper guidance from his financial advisor, his wife can diversify the 401k funds into better investment options than what is currently available in his Plan.