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Can I roll money out of my 401(k) while still working there?

Sometimes — it's called an in-service rollover or in-service distribution, and it depends entirely on your plan's rules. Many plans let participants over 59½ move vested funds to an IRA without leaving the company; some also allow rollovers of after-tax or rollover-source money at any age. People do this to access broader investment choices, lower fees, or to execute a mega backdoor Roth. The catch: leaving money in the 401(k) preserves perks an IRA loses, such as the Rule of 55 and stronger creditor protection. Done as a direct trustee-to-trustee transfer, an in-service rollover triggers no taxes or penalties. Always confirm eligibility in your Summary Plan Description and weigh what you'd give up. Compare your options before moving anything with wealthserene.com/assessments/retirement-readiness.

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