A 401k is a retirement arrangement of employers to their employees. Employees are not required to pay income tax over the account unless it is withdrawn during the person’s retirement. When an employee decides to terminate his employment in a certain company, a 401k rollover takes place. The retirement fund will be transferred to another plan.

If you are in the unnerving position of finding yourself looking for a new job or of leaving your old job, you might forget that you have retirement savings in your 401k plan that you should look into for a possible 401k rollover.