Traditional or Roth IRA?

[Courtney Downtain]

Hey BP team!

I need some advice on how to pull my 401K for investing purposes. I want to be able to rollover a portion of my current employer's 401K into an IRA account, but all of the FAQ's I have read seem like a Roth IRA is the way to go if I want it to be tax free. I am just learning about the differences in accounts. Everything I have heard about using an IRA for investment purposes is to go with a traditional, but I read that if I roll it over into a traditional, I will be taxed up front. Is this true?

[Karen O.]

Did you determine if your current plan allows for in-service withdrawals?  That may be the most important question to get answered since many 401k plans do not allow for withdrawals while still employed other than loans or hardship withdrawals.  Then consult with a professional as others have suggested.