I had never really considered 401k rollover options until recently like many I had to make a job change due to the downturn in the economy. Actually I never really paid much attention to my 401k retirement account at all other than to make sure my direct deposits were being made regularly from my paycheck. Losing a job really makes one take a real close look at their current and future financial security. I have spent the last several weeks researching fully what my 401k rollover options actually were. Here are some of alternatives when it comes to a 401k rollover that I found out during this discovery of my own personal financial state.

1. You can rollover a 401k to a traditional individual retirement account (These traditional IRA’s are quite similar to a 401k in the fact that deposits to them can be made pre-tax).

2. You can rollover a 401k to a Roth IRA ( these are designed for post tax contributions and you gains grow tax free and withdraws or distributions at retirement age are tax free unlike a traditional IRA or 401k where you pay tax on withdrawals and distributions during retirement)

3. Depending upon who your company uses to manage their retirement accounts it is possible you can leave your 401k where it is and pay the annual brokerage fees.

4. Rollover 401k to your new employer’s retirement savings account.

The biggest thing I found out when considering my options for a 401k change was to consult my accountant to review all the tax implications that all of the options would have on my current and future personal finances. I was fortunate enough that both company’s my old and new used the same brokerage firm to handle the employee retirement accounts that my 401k rollover was quite easy. Some may not be so fortunate. Below I’ll be listing some additional information that I learned during the process of my career change, such as the benefits and advantages of your 401k accounts, 401k contribution limits, 401k loans, 401k hardship withdrawals and

 The IRS as you can imagine has well defined 401k contribution limits defined.  For the current year 2009 you can add up to $16500 to your 401k.  In the event you are over the age of 50 you may be able to add an addition $5500 to that figure.  While these are the limits imposed by the IRS for pretax contributions allowed to an employee 401k account many company's have additional restrictions that they impose.  Most  I have found will allow you to contribute up to 50 percent of your annual salary to your 401k retirement account.  Many employers also offer a company match on a certain percentage of your overall contributions.  You will definitely want to check your specific benefits package to make sure and take advantage of the full benefits of these employer matching funds.