More people are rolling their 401(k) savings into individual retirement accounts when leaving a job, according to new data from a financial services company.
Of assets held by over 12,000 401(k) participants who left their job in fourth quarter 2008, 69% had been distributed from the former employers’ plans by the end of 2009, reports Charles Schwab Corporation, San Francisco. The data represents $427 million in assets.
An overwhelming majority of those assets was rolled over into IRAs, according to Schwab.
Of the distributed assets in the Schwab data, the researchers found that:
–80% were rolled over into IRAs