Rollover Definition

In personal finances, a rollover is a transfer of funds from one account to another account and the term is used frequently with qualified retirement accounts such as IRA and 401(k) accounts. For example, if you change jobs you might want to take the funds from your old job’s 401(k) account and roll them over into your new job’s 401(k) account. The term is also used to indicate the automatic reinvestment of funds into a new CD when an old CD matures.