Date: Wed, 12 Jul 2006 09:46:28 -0500
From: Mark Freeland 
Newsgroups: misc.invest.financial-plan
Subject: Re: basic question re: rolling over to new 401k vs. IRA
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jIM wrote:
> 
> A Roth IRA and a Rollover IRA are charactarized differently.  You can
> CONVERT the rollover to a Roth, but would owe taxes on the rollover.
> 
> A Roth could not be rolled into a 401k (unless someone proves me
> wrong).  

That's correct.  You can roll over a Roth 401(k) into a Roth IRA (or
into a new employer's Roth 401(k)), but you cannot roll over a Roth IRA
into a Roth 401(k).

Here's the IRS page of FAQs on Roth 401(k)s (designated Roth accounts)
http://www.irs.gov/retirement/article/0,,id=152956,00.html

Here's the specific question of rolling over Roth 401(k)s into Roth IRAs
and Roth 401(k)s:
http://www.irs.gov/retirement/article/0,,id=152956,00.html#22

Going the other way (from Roth IRA back into Roth 401(k)) is not on this
page; you have to go directly to the Jan 26, 2006 proposed IRS
regulations, and look at Q-5 on pp. 49-50 (there are multiple Q-5's;
make sure you find the right one).
http://www.irs.gov/pub/irs-regs/14645905.pdf

-- 
Mark Freeland
nNeEwTs@sonic.net