Description

A roll-over refers to the process of transferring funds from one investment account to another without incurring tax penalties. This is commonly seen in retirement accounts, where individuals move their savings from one plan to another to maintain tax-deferred status.

Interpreter Notes

Interpreters should be aware that 'roll-over' may be confused with similar financial terms like 'transfer' or 'withdrawal.' It is important to maintain a formal register and avoid colloquial terms. Stick to the glossary term 'reinversión' in formal contexts, as regional variations may exist.

Example Sentences

EN: He decided to do a roll-over of his 401(k) into an IRA to take advantage of better investment options.

ES: Él decidió hacer una reinversión de su 401(k) en una IRA para aprovechar mejores opciones de inversión.

Common Interpreter Mistakes

Confusing 'roll-over' with 'transfer'; misinterpreting 'reinversión' as a withdrawal; using informal language instead of formal terminology.