Have you ever wondered what happens to your 401(k) when you quit or lose your job? While 401(k) funds may not be a tangible asset, it will still exist after deciding to resign your position or have lost your job.
What happens to your old 401k when you quit a job?
There are various options for you to choose from, including leaving your account where it is. You may roll over the money from the old 401(k) into a new account with your new employer or move it into an individual retirement account (IRA). While all these are possible options, first make sure you can participate in a new type of plan. Lastly, and one we don’t often recommend is taking everything out however, there are severe tax consequences.
Should I take all my 401k funds?
We don’t recommend taking all your 401(k) funds because this is an employer-sponsored retirement account. It allows you to save a percentage of your pre-tax salary to a retirement account. These funds are invested in a range of stocks, bonds, mutual funds, and cash. It is almost like taking money out of your piggy bank for non-
emergency situations. Unfortunately, many have lost their jobs with the current pandemic, and the unemployment check may not suffice for all your expenses. Remember you can borrow in certain situations without a tax penalty. If a 401(k) withdrawal is the only way that you can pay your bills without taking on costly credit card debt, do it.
What if your new employer does not offer a 401k plan?
So what happens if your new employer does not offer a 401k plan or if you’re not moving to a new employer? You can roll your 401(k) to an existing IRA or a new IRA account. When you have a 401(k) plan with your employer, you don’t get to decide what companies to invest in, but now you have full reigns to freedom to invest how you want, where you want, and in what you want!
Invest in companies that align with your values
Now that you are free to invest in companies that align with your values, consider impact investing as a choice! Click here to view a more in-depth blog-post about 401(k) rollovers into social responsible investments. Impact investing allows you to invest your money into companies, organizations, and funds with their intention to
be beneficial to social or environmental issues. At Invested Interests, we make it easy for you to rollover your old 401K into a new retirement account. We work tirelessly to help our clients express their passions through their investment decisions.
Other options
Let’s say you are about ready to retire. You can begin taking qualified distributions from your 401(k) after the age of 59 ½, which means that when you decide to take out some money without paying a 10% tax penalty for early withdrawal. Whatever you decide to do with your 401(k), Invested Interests is here to help you in your strategic financial decisions and support in choosing impact investing portfolios.
Earth to readers! As a global pandemic is in full effect, it is essential not to forget about another worldwide crisis that has been unfolding way before the pandemic: climate change.
Global warming is not something new, human activity started influencing climate change in the 1830s. While the industrial revolution may have had its advantages like creating more job opportunities or inspiring innovation, as we began to industrialize, we also started to change our atmosphere’s chemistry by emitting large amounts of CO2 and other pollutants to our air. It is important to note that industrialization was not the only contributing factor to global warming. The coal industry, for example, on its own, generates 1.7 billion tons of carbon emissions every year. We know for sure (backed up by science) that humans have contributed to climate change.
Where are we now?
During the 2016 Obama administration, the United States joined the Paris Agreement. The Paris Agreement is an agreement in which at least 55 countries representing at least 55 percent of global emissions formally join and aim globally to respond to the threat of climate change. Joined parties are required to report their emissions 
and their implementation efforts regularly. Unfortunately, as of June 2017, the Trump administration decided that the United States will cease all implementation of the Paris Agreement. As a country, political decision-makers are currently not taking action towards climate change as our current president believes global warming is a hoax. However, the Mercator Research Institute on Global Commons and Climate Change report that around 42 Gt of CO2 is emitted globally every year (1332 tonnes per second), predicting that the CO2 budget will be depleted in just over seven years.
Moving Forward
With the recent presidential election, the president elect, Joe Biden, said he would apply to rejoin the Paris Agreement on his first day in office. Following the reapplication, he “would lead an effort to get every major country to ramp up the ambition of their domestic climate targets.” This news brings a new sense of hope for climate change and the future of our earth. But what can YOU actively do to reduce your carbon footprint?
What can we do?
While climate change solutions are necessary globally, you can actively do things to reduce your carbon footprint. You can start by measuring your current carbon footprint through a carbon footprint calculator. Once you have figured out your carbon footprint, you can implement ways to reduce it, including thrifting clothing 
instead of buying fast-fashion, buying local produce, or even carpooling when possible.
Climate Change Investing
To ensure that our financial investments are not funding an unsustainable future. It is critical to divest from companies using fossil fuels, creating nuclear waste, and destroying natural resources. Invested Interests, helps you identify those environmental funds. Invested Interests environment portfolio invests in green companies, alternative and renewable energy companies, and companies promoting sustainability.
Climate change includes global warming driven by human emissions of greenhouse gases causing large scale shifts in our weather patterns. The impacts of climate change are detrimental to the planet, to us, and our economy. Learn how to invest in climate change.
Investing isn’t the only way to show your support for the environment. Check out How to Vote with Your Wallet for the Environment for eco-friendly financial tips. If you’re new to investing, check out our glossary to get comfortable with financial terminology.
What is climate change investing?
Impact investing aims to generate specific beneficial social or environmental effects. People impact invest because they want to utilize their money and investment capital to bring change to social issues. Climate change investing is one way of impact investing in climate change. People who want to invest in climate change wish to create a sustainable future for coming generations.
Examples of climate change investing?
The two most common ways individuals invest in climate change are investing in renewable energy investing or investing in corporations with green initiatives. Investing in renewable energy companies focuses on manufacturing products that are sustainable and creating solutions that will limit the amount of emissions used in their products.
Investing in corporations with green initiatives allows individuals to invest in companies committed to the conservation of natural resources and implementing new alternative ways to reduce their carbon footprint.
How can you get involved in climate change investing?
At Invested Interests, we make it easy for anyone (beginner proof) to invest in climate change. Our clients 
invest in green companies, alternative and renewable energy companies, and companies promoting sustainability through our environmental portfolio’s wide range. We avoid oil and fossil fuel companies, companies that aren’t eco-friendly, and nuclear power companies. Companies like Microsoft or Nike are included in our company environment impact investing portfolio.
You don’t need to be overflowing with money to start investing for your future and the future of this world. The biggest misconception about investing is that you can only start investing when you have X amount of money. Many people refrain from learning about investing because they believe it is not within their budget/can’t afford investing but in fact, this is all a myth!
I’m not rich enough to invest?!
You don’t need to be the wealthiest person in the world or be a wolf of Wall Street to start investing. Long term investing will grow your wealth. Long term investing is not only less risky especially for those who have just started investing, it will allow you to diversify your portfolio, and once the dividends pile up, you can do whatever you want with them (hopefully reinvest).
So how much money do you need to start investing? Seriously…
Well it all highly depends on what you are investing in. Investing in mutual funds lets you purchase small pieces of many different stocks in a single transaction. Mutual funds allow you to diversify your investment 
portfolio to avoid the risk of “putting all your eggs into one basket”. With an individual stock, you can buy a single share or a few shares of the company of your choice. Stock prices fluctuate day to day (check out Yahoo Finance, to keep track of stock prices). It also depends on your personal investment goal, whether that is investing for retirement, for example. Regardless of your goal, it’s never too late or too early to invest as long as you start!
I only have $100 dollars to invest per month
At Invested Interests there is no minimum to start investing! While some companies may require a minimum investment to start that is not the story with Invested Interests. So if you only have 100 dollars to invest per month it is better to start investing something rather than nothing. It is not so much about how much you invest but a time game for long term investing.
Can I make world impact by investing (Impact Investing)
Simple answer: Yes, you can! Check out our previous articles about how you can start impact investing and vote your wallet for causes like human rights & diversity, environment and peace. Here at Invested Interests, we have portfolios that support causes through conscious investing you can make a world impact!
Learn how to start impact investing with Invested Interests
Imagine this: You have made it through a successful interview, with a company you consider working for. You have managed to get the answers to the redundant questions, usually asked by the candidates. What are the day to day responsibilities of this position? Who will I report to? What is the company’s culture? Why do you work here? Don’t get me wrong, these are all very important questions but, let’s start asking the critical questions relating to the company’s corporate social responsibility.
Corporate social responsibility: Self regulating business model that allows companies to be socially responsible. By practicing corporate social responsibility, companies can positively impact society, economic, social, and the environment.
Questions
1. Does the company have a Corporate Social Responsibility strategy?
Let’s start by breaking the ice with this question. With their response to this question, you will know whether the company has started thinking about implementing any CSR or whether they are not interested in integrating social and environmental concerns in their business operations.
2. How does the company approach corporate social responsibility?
This question will give you a better understanding of what philanthropic initiatives they have started and whether that aligns with your values.
3. How do employees get engaged in the company’s Corporate Social Responsibility strategy? Are employees required to participate?
It is great that a company has a CSR strategy, but how many employees are getting involved? If you were to walk up to an employee, would they be able to tell you what projects/events have been hosted for their philanthropy?
4. Is the Corporate Social Responsibility strategy evolving and adapting to meet new needs?
Life is continually changing; it is essential to know whether they adapt to new social/environmental issues.
I personally like companies who are constantly informed on the world’s current events.
5. How is the company tracking or measuring their Corporate Social Responsibility impact?
A company can’t know how successful their CSR strategy is if they don’t keep track or measure their impact.
6. What are the company’s customers’ social aspirations? Have you taken any action? What environmental/social issues would consumers want the company to address?
This question ultimately identifies whether the company listens to its consumers and considers their opinions when creating a CSR strategy.
Nobody wants to work in a company they dread waking up early in the morning to work. While some individuals may not have any other choice, you have the power to choose what company you decide to work 
for. Research has shown that corporate social responsibility has been linked to higher employee satisfaction and company commitment. When you work at a company committed to being socially responsible, it comes to no surprise you would be committed to their philanthropy.
Identify those companies committed to being socially responsible and if you are currently working for a company, find out what their CSR strategy is and how you can actively engage in their process.