The next time you leave a job, you should take your 401(k) with you. If you plan to roll the money over to a new institution, you might find one that will pay you to do so.
Several companies that act as individual retirement account (IRA) custodians will now pay you a cash bonus if you roll over your 401(k) to them. In general, the more money you roll over, the bigger your cash reward.
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Note that these rewards go beyond 401(k) rollovers — simply opening a retirement account or brokerage account and funding it with the required amount can net you a bonus as well.
However, you need to move a lot of money — at least $10,000 and sometimes more — to get the bonus. So, rolling over a 401(k) into an IRA might be the easiest way to get the reward.
In fact, opening a brand-new IRA without transferring money from an existing IRA won’t result in a bonus because federal law limits IRA contributions to $6,000 per year for people 49 and younger and $7,000 for those 50 and older.
The following are a few companies that currently offer cash bonuses for retirement or brokerage accounts, or both.
Open a new retirement (or brokerage) account at E-Trade by June 30, 2021, and you can get up to $3,000 in cash. You will have to make a qualifying deposit to snag your money.
Just note that — as with all the bonuses listed here — the amount you deposit will need to be large to earn your bonus:
To earn the reward, qualifying deposits must be made within 60 days of opening your account.
Open and fund an Ally Invest Self-Directed account by Sept. 30, 2021, and you can get a bonus of up to $3,000. Bonus amounts are as follows:
To earn the reward, qualifying deposits must be made within 60 days of opening your account.
Open and fund a new retirement or brokerage account with TD Ameritrade by June 30, 2021, and you can get up to $2,500. The reward amounts are as follows:
To earn the reward, qualifying deposits must be made within 60 days of opening your account.
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When a friend refers you to Charles Schwab, you are eligible for up to a $500 cash bonus when you open an IRA or brokerage account and make a qualifying deposit. Charles Schwab does not mention an expiration date for this offer.
Bonus rewards are:
This offer is only good for new Schwab clients. If you already have a Schwab account, refer a friend so he or she can cash in.
To earn the reward, qualifying deposits must be made within 45 days of opening an account.
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