Ellevest currently supports the following types of plans for rollovers to Ellevest IRA accounts:
- 401(k): Standard pre-tax contributions made by the employee and often includes some matching by the employer.
- Roth 401(k) or “Designated Roth Account”: After-tax contributions made by the employee.
- 403(b): Public schools, colleges, universities, charities, state governments, local governments and other tax-exempt entities under section 501(c)(3) of the IRS code are able to offer 403(b) plans.
- Defined Contribution Plan [401(k), 403(b) plans are also this type]: These often have multiple investment options – stocks, mutual funds and other options may be available in these plans. Employees typically decide if they will contribute and how much of a contribution is made from salary deductions.
- 401(a): A 401(a) is similar to a 401(k) but are custom-designed plans often only offered to key employees of public sector institutions. They can be rolled into an IRA after separation from service.
- 457: Public schools, colleges, universities, charities, state governments, local governments and other tax-exempt entities under section 501(c)(3) of the IRS code are able to offer 457 plans.
- Profit-sharing (PSP): These plans are used by self-employed individuals. They can be rolled into an IRA if they are not being contributed to.
- Money-purchase plan (MPP): These plans are set up by your employer. They can be rolled over to an IRA after separation from service, or according to the plan document.
- Employer sponsored pension plan (ESOP): In these plans the employer contributes its stock to the plan for the benefit of the company’s employees. ESOP should not be confused with employee stock option plans, which give employees the right to buy their company’s stock at a set price after a certain period of time.
- Thrift Savings Plan (TSP): TSP’s are only offered by the federal government to government employees – this can include civilians and military personnel. Other than this plan being sponsored by the federal government rather than a private employer, the Thrift Savings Plan functions much like a 401(k). We support these plans as long as it’s a lump-sum distribution.
- Defined Benefit Plan or Pension: Contributions are calculated employee benefits using a formula. This formula will often include factors such as salary history and duration of employment. Employers have control over investments, risk, and investment portfolio features. We support these plans as long as it’s a lump-sum distribution.
Ellevest does not support rolling over the following types of plans:
- Individual 401(k): i401ks are for self-employed individuals and business owners, or if you're a partner in a business whose only employees are the partners and their spouses.
- Active Employer-Sponsored Retirement Plans, meaning if you or your provider are still contributing to it.
Not sure which type of plan you have? We recommend contacting your current provider to help.
Want more info? Learn more about the Ellevest Rollover process here.