Retirement Plan

The investment choices available: Large corporations typically limit investment choices to Mutual funds bond securities share and . Smaller companies may do the same, but are more likely to allow self-direction of investments, allowing the participant to choose among stocks, bonds, mutual funds and other available investments, similar to the investment options available in a self-directed IRA. If investments in the 401(k) are limited, Casey will need to decide whether he prefers to contribute to an IRA, which would provide a broader range of investments from which to choose. ccessibility: While retirement savings are intended to accumulate until retirement, situations sometime arise that leave the participant no choice but to make withdrawals or loans from their retirement accounts. Generally, assets in a 401(k) plan cannot be withdrawn unless the participant experiences a . However, if the plan has a loan feature, Casey could take a loan from his account and repay it within five years (or longer if the loan is to be used for the purchase of a principal residence). IRA assets can be withdrawn at any time. However, except for approval contribution, the amount cannot be repaid to the IRA. (For information about taking loans from a qualified plan account,