Once you reach the age of 59 ½, you can transfer a portion of your retirement plan assets into a self-directed IRA, known as an in-service rollover (ISR). Here are some advantages: Better control and flexibility of your retirement assets Expanded range of investment choices Reduced costs: you can select investment choices that typically have lower internal costs and fees than those provided in your employer’s retirement plan If you are converting a traditional 401(k) to a Roth IRA, the amount rolled over is subject to taxes at ordinary income rates. Roth IRAs are funded with after-tax dollars. It is recommended to consult a tax advisor before making this decision.