Stop Letting Your Money Sit (Rollover IRAs)
What to Do With That Old Rollover IRA Before It Costs You Thousands
Check out the latest episode on YouTube.
“The most important thing about investing is staying invested.”
— Philip Verley
If you’ve left a job in the last 5, 10, or even 15 years, there’s a chance you have a retirement account sitting somewhere… untouched.
And untouched money doesn’t grow.
Let’s fix that.
Your 3-Step Rollover IRA Action Plan
1️⃣ Locate and Identify Your Accounts
You can’t manage what you can’t see.
Start by identifying:
Old 401(k)s from previous employers
Existing rollover IRAs
Whether funds are invested or sitting in cash
Whether the account is Traditional or Roth
Many people are shocked to discover their money is sitting in a money market fund earning very little.
Why this matters:
Inflation quietly erodes idle cash. Over time, that’s thousands of dollars in lost growth.
💰How to implement:
Call former HR departments
Check old statements
Search the federal 401(k) lost-and-found database
Log into current custodians and review allocations
2️⃣ Decide - Roll Over, Consolidate, or Reallocate
You typically have four options when leaving a job:
Leave the money where it is
Cash it out (usually not recommended due to taxes and penalties)
Roll it into your new employer’s 401(k)
Roll it into your own IRA
But the key decision isn’t just where it sits.
It’s how it’s invested.
📊 Real Example
Let’s say you had $75,000 sitting in cash for 10 years earning 1%.
At 1% annual growth → it becomes about $82,800.
At 8% average annual growth → it becomes about $161,900.
That’s a difference of nearly $80,000.
Same money. Different decision.
3️⃣ Invest According to Risk and Time Horizon
Now that your money is positioned correctly, you need a strategy.
Consider:
Your age
Your retirement timeline
Your risk tolerance
Your tax strategy
You’ll also need to understand the difference between:
Traditional Accounts
Tax-deferred today
Taxed upon withdrawal
Required minimum distributions later
Roth Accounts
Taxes paid upfront
Tax-free withdrawals in retirement
No future tax surprises
There is no universal “best” option. There is only what aligns with your long-term plan.
If you’re unsure? Consult a qualified advisor for guidance.
🎯 Your Action Steps This Week
Locate every retirement account you’ve ever opened
Confirm whether funds are invested or sitting in cash
Determine if each account is Traditional or Roth
Visit the IRS website to confirm current contribution limits
Schedule a 30-minute financial review (DIY or professional)
This Month
Consolidate old accounts where appropriate
Review your asset allocation
Increase contributions if possible (especially to employer match level)
Set up automatic monthly investments
Track your net worth and retirement projections
Momentum builds confidence.
Questions for Reflection
Ask Yourself
How long has my rollover IRA been untouched?
Am I avoiding a decision out of fear or lack of knowledge?
What would 10 more years of inactivity cost me?