Changing jobs or retiring?

Deciding what to do about the retirement savings you've accumulated may not be the first thing on your mind. But, it's one decision you can't afford to put off.

You may be able to request a distribution from your employer's retirement plan. This distribution — often called a “lump sum”—could be quite sizable.
For many people, this type of distribution is often their single largest source of retirement assets.

Take the cash? Leave the money where it is? Transfer the money to your new employer's plan? Transfer the money to your new employer's plan? Roll the money into an IRA invested in Huntington Funds?   You have options Use this web page as a guide—and talk to your financial advisor to make sure you have all the facts before you take this crucial step. To learn more, call 800-253-0412.

Why Consider a Rollover?

Convenience, control and consolidation are among the reasons many choose a Rollover IRA.¹

Having all your retirement funds in one place can help you manage the big picture. You should be in a better position to ensure your investments are well-diversified and rebalanced as you get closer to retirement.

Options for Your Withdrawal — the Pros and Cons

Take the cash

Leave the money where it is

Transfer the money to your new employer's plan

Roll (indirect) the money into a Huntington Funds IRA 2

Roll (direct) the money into a Huntington Funds IRA

Take the cash and spend it as needed or put into a taxable investment account

Tax-deferred status of assets is preserved Assets may be protected from creditors in case of bankruptcy

Tax-deferred status of assets is preserved Assets may be protected from creditors in case of bankruptcy

Tax-deferred status of 80% of assets (amount not withheld) is preserved Larger investment selection Flexibility in naming beneficiaries Flexibility in withdrawal options Assets may be protected from creditors in case of bankruptcy

Tax-deferred status of entire distribution is preserved Larger investment selection Flexibility in naming beneficiaries Flexibility in withdrawal options Assets may be protected from creditors in case of bankruptcy

Retirement assets lose tax-deferred growth opportunities 20% immediate withholding forfederal income taxes on taxable portion of withdrawal; balance due (if any) when income taxes are filed; state withholding and taxes may also apply Possible 10% early withdrawal penalty tax, if under 59½ years old

If account is less than $5,000, prior employer might not allow you to keep it in its plan Limited investment choices Limited methods of beneficiary designation Limited withdrawal options Can't make additional contributions

New employer's plan might not allow transfers into it Limited investment choices Limited methods of beneficiary designation Limited withdrawal options

20% immediate withholding for federal income taxes on taxable portion of withdrawal; balance due when income taxes are filed; state taxes may also apply If the 60-day deadline is missed, taxable portion of withdrawal, including amount withheld if not otherwise made up, may be taxed as ordinary income and 10% early withdrawal penalty tax may apply, if under 59½ years old

¹ If you are rolling over money from your employer's plan that includes a designated Roth account, you must establish a Roth as well as a traditional IRA rollover account.
² With an indirect rollover, you will receive the funds less 20% federal income tax withholding (and possibly state income tax withholding), you may, within 60 days of the distribution, roll up to 100% of the gross distribution over to an IRA, but you will have to find an alternative source of cash for amounts withheld.

Diversification does not assure profit or protect against loss in a declining market.