The 401K 59½ to IRA option

Now investing gets scary! In my 401K I have 16 different investing options. I even find that complex! Now that I am past 59½ I can move funds from my 401K to an IRA and have thousands of investing options. I'm not sure how accurate this is but Googling this - there are:

• 2773 stocks that trade on the NYSE
• 2788 stocks listed on the Nasdaq
• 7691 mutual funds
• 700 ETFs available on the market
• Plus untold # of bonds, options, etc

This month we are moving a portion of our 401Ks to IRAs with Wells Trade (100 free trades per year. We hope to beat the returns on the 401K. Target return would be 5%.

Retiring? What to do with your 401(k)

Retiring? What to do with your 401(k)

Excerpt:

Bottom line: before you make a decision, take some time to think about such issues as when you'll need access to your money, how much flexibility you'll have getting to it in your 401(k) vs. an IRA rollover and, of course, how much you'll pay in expenses staying in your plan vs. doing a rollover. I suspect that most people will opt for the IRA, especially if they're 59 ½ or older. But the only way to know which is the better choice is to think it through

Comment: The question came from Plymouth MN (my own home)

Question: When I retire, should leave my money in my company's 401(k) or roll it into an IRA? --Mark, Plymouth, Minnesota

Although it is more than 5 years away, I think we will choose the IRA option.