I changed jobs and am rolling over my old 401(k), which has a designated Roth component. About 70 percent of the balance is in the Roth portion. My new employer will not allow after-tax transfers, which sucks. Apparently I now have to split the old 401(k) balance in two.
Is there no way to get the two portions back in the same pool without a tax penalty, e.g., maybe an indirect transfer of the Roth portion to my new 401(k)? I like to keep things simple and I hate the thought of having to monitor two accounts. Should I just put the Roth portion into a stand-alone IRA? I'm at a point where the Roth is probably not best for me anyway as I anticipate being in a lower tax bracket at retirement than I am now.
Any advice?
Is there no way to get the two portions back in the same pool without a tax penalty, e.g., maybe an indirect transfer of the Roth portion to my new 401(k)? I like to keep things simple and I hate the thought of having to monitor two accounts. Should I just put the Roth portion into a stand-alone IRA? I'm at a point where the Roth is probably not best for me anyway as I anticipate being in a lower tax bracket at retirement than I am now.
Any advice?