THE BLOG

An Oreo and Your 401K

06/14/2013 06:28 pm ET | Updated Aug 14, 2013

How many Oreo fans are out there? There are so many "imitation" Oreos... but there is no substitution for the original! Don't even get me started on all of the "poser" cookies trying to pass themselves off as the as the real deal!

Everyone has their method of eating the cookie as well. Personally, I separate the two halves and then it's a toss up to which side I eat first. Do I go with the cookie, knowing I'm saving the best for last or do I eat the side with the cream, which is what I really want? Always a tough choice, but 9/10 times, eating the side with the cream is always my go to (and don't tell anyone, but sometimes I don't even eat the other half).

Follow me on this analogy. Trying to decide what to do with your old 401K from your employer is just like that tough Oreo decision. Do I roll it over, or do I just leave it there because it's easy? So many people just leave their 401K with the old employer. They forget about it and never take a second look.

STOP doing that! I want you to enjoy the best half of your 401K cookie right now!

My advice is to always roll over your old 401K into a new IRA. There are a few rules to follow, most importantly that you do a direct transfer and never touch the funds yourself.

The new IRA offers more investment funds and the chance to have it professionally managed by a financial planner to ensure growth for your retirement. Plus, you can take advantage of a few cool perks like being able to withdraw $10,000 penalty-free for the purchase of a new home -- SCORE!

If you have an old 401K just sitting with an old employer, you are probably missing out on some very valuable gains. AT the end of the day, it's all a matter of dollars and sense.

Ok, who is craving an Oreo right now?