Where to find more information on this? Thank you!
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Just rolled everything out of the Honeywell accounts! Feels good that my retirement funds are completely out of Honeywell's control.
@4tvj yes you can, if you are over a certain age and have been at the company for 10 years, I believe. You can call the Honeywell hotline (they are actually helpful), get a copy of the plan information and look it up, or work with your financial advisor to get it rolled over. You'll need an account set up so you can roll it without penalty.
Additionally, you have ALWAYS been free to move your $$ to another trustee once you're vested. HR for years kept up the "big lie" that you could not, and I believe often still perpetuate that myth likely due to youthful ignorance.
- 4jtv
You sure can. Just do a trustee to trustee roll over and keep your hands off the money and it will be a seamless, tax free action.
- 3fwt
You certainly do have access to Fidelity Funds. Just do a roll over into Fidelity. Or Vanguard. Or any place you feel has access to funds you want at a low cost you're willing to pay.
Warning: a roll over of a ROTH 401K into a ROTH IRA restarts the 5 year "clock" on your ability to tap into funds tax/penalty free. Don't roll over that Honeywell Roth if you plan to take it as income within the next 5 years. Regular 401 into Traditional IRA has no such caveat.
Can you roll money out of Honeywell 401K plan to a IRA if you are still working at Honeywell? Do you have to be a certain age to do this?
Fidelity fund w/.015% fee is FXAIX. Personally, I prefer the Vanguard Total Stock Market ETF (VTI) because you also get small caps, eliminate companies moving in/out of the SP500 index and it does not disperse capital gains. Fee is .04%.
Their is a decent retirement analysis tool on the website. It runs simulations and gives a report with a detailed analysis.
Fidelity is just doing our paperwork. We have no access to Fidelity funds. We would be better off if we did.
Do you have to call Fidelity to get the S&P500 direct for 0.015% or is it advertised on their website?
HON S&P500 fee .05% vs .015% direct at Fidelity
HON International fee .23% vs .09 Vanguard
HON Small Cap fee .16% vs .05% Vanguard
An extra tenth of a percent adds up over time...
Fidelity offer Zero Total Market Index fund and Zero International Index fund with no management fees. It would be nice if these funds were in our 401K plan.
S&P500 equity index fund was 0.06% before the move to fidelity and is now 0.05% at fidelity...so no the fees did not go up. This is the case with all the funds. Honeywell common stock fund went from 0.07% to 0.05% with fidelity.
Fees went up dramatically with the switch to Fidelity. I estimate that on a $500k 401k you will be paying around $2k/year more in fees. Honeywell is passing on the global 401k admin fees to participants rather than eating them as a benefits cost like in the past. Just another way Honeywell is sticking it to their employees while telling them it is a great deal.
On the Fidelity website.