I was catching up with a former colleague recently, and we ended up talking about ignored and mostly forgotten 401(k)s. What hit me was how similar our situations were, and how common this issue probably is.

The way work looks now is different than when I finished college. It’s not like previous generations where more people stayed at one company for 30 years. Most of us have had a handful of jobs over our careers. If you go on LinkedIn, it’s normal to see someone with four or five roles over the last decade or so. LinkedIn is quick to remind us of that by dropping the confetti every time someone starts a new role.

At every point I changed jobs, I had maxed out my 401(k) and then moved on. Afterwards, they mostly just sat there with little or no attention paid to them. One I had rolled into another account, but the rest stayed in my old employer’s plan, invested in whatever I chose at the time—a target-date fund, an S&P index fund, or whatever lineup the plan administrator had (Voya, Vanguard, State Street, etc.). For years, I paid no attention to what those accounts were doing and barely remembered what I was invested in.

At some point, I started thinking more about how I actually wanted to invest. I wasn’t looking for wild bets but wanted to aim for better returns than what most of those default 401(k) funds were built to deliver. That’s when I started exploring other options for that money more aligned with how I wanted to invest.

What I Did With My Old 401(k)s

That conversation with my colleague made me think back to when I finally did something it. I ended up talking with Rick, who runs the firm I’m with now. We pulled up my old statements to see what I had. I didn’t really know how any of it was doing—I was just curious if there was something better I could do with it. So we started talking through the options. I had avoided this stuff for years. It just felt like a hassle, and I made the excuse that I was too busy with work and life to deal with it.

What I didn’t realize—and what I’ve also heard from a few friends and clients—is that once you roll over a 401(k) into an IRA, you get to choose how it’s invested. You’re no longer stuck with your old employer’s overwhelming choices. Once the money is in your IRA, you can invest in stocks, index funds, ETFs—whatever fits your strategy. You can manage it yourself, or work with someone you trust.

The Rollover Process

I rolled all of my old 401(k)s into a consolidated IRA with Fidelity as the custodian (basically the place that holds your money—stocks, bonds, cash). My current firm handled most of the process: opened the account, managed the paperwork, coordinated the transfers. Way easier than me trying to dig through vague instructions and forms from old plan administrators. It almost feels like confusion is the strategy. One thing I knew—but some of my colleagues didn’t—is that there are no tax penalties when you roll over to an IRA.

I chose to have my firm manage my IRA and how it’s invested because I fully believe in our strategy and approach. That said, you can manage the process and make investments yourself, or work with an existing advisor, manager, or whoever you’re comfortable with.

Investing Your Own Way

The account is set up through Fidelity and it’s in my name, even though my firm has discretionary access to invest on my behalf. I’ve got the app on my devices so I can check in anytime and set notifications for trades, transactions, and more. Fidelity sends me statements, and Mad River sends performance reports. I always know exactly what I own and how it’s doing. And if I ever want to move firms or manage it myself, I can do it right through my account. I don’t need to call anyone, sign third-party forms, or jump through hoops. Nothing’s locked up or complicated.

I’ve invested more over time through a separate brokerage account (still through Fidelity). It includes commissions I’ve earned, other investments I moved over, and proceeds from a couple of investment home sales. This enables us to invest and manage my post-tax dollars the same way I do my pre-tax IRA—again, by choice. The beauty is the simplicity of having it all in one place.

Why This Mattered to Me

In the end, this was about doing something I’ve always been interested in—personal investing. I’ve always admired people who could grow their money and generate income by investing on their own. That curiosity is actually what pulled me out of corporate sales and into investing full time. I just wanted to do something smarter with the money I had already earned and saved. It didn’t take much time and is probably one of the most satisfying and productive things I’ve done financially—and career-wise.

Final Thought

If you’ve changed jobs and have a few 401(k)s sitting around, I’m convinced it’s worth your time (certainly for those in your 40’s, 50’s or 60’s that have accumulated a few dollars). You might be surprised—or even excited—by the options you have. And if you ever want to talk it through, feel free to email or call me. Happy to share what I’ve learned.

Mike Gagne

Mad River Investors