How to Open a Schwab Personal Choice Retirement Account® (PCRA) in Your 401(k)

If you're looking for more investment flexibility within your 401(k), a self-directed brokerage account like Schwab's Personal Choice Retirement Account® (PCRA) might interest you. It gives you access to a broader range of investment options than your plan’s standard lineup.

A PCRA is a self-directed brokerage window offered by Charles Schwab that allows you to invest a portion of your 401(k) in thousands of mutual funds, ETFs, stocks, and other securities not available in your plan’s core investment lineup.

It’s still part of your 401(k)—but gives you greater control over how your money is invested.

• Access to a wide range of investment choices beyond your plan’s standard options

• Research tools and portfolio management resources from Schwab

• Seamless integration with your retirement account—your investments remain tax-deferred

• Control over trading decisions, fund selection, and allocation strategy

Important: PCRA accounts are best suited for investors who are comfortable making their own investment decisions or working with a financial advisor.

Who Can Open a PCRA?

• Eligibility depends on your employer’s 401(k) plan design. Not all plans offer PCRA access.

• Some plans allow you to open a PCRA immediately, while others may require a waiting period or minimum balance in the core 401(k) account.

How Much Can You Invest in a PCRA?

• Your employer may limit the percentage of your 401(k) that can be transferred into the PCRA (e.g., 90% of your total balance).

• Transfers are made from your existing 401(k) account—you can’t contribute directly to the PCRA.

1. Confirm eligibility

   • Log in to your 401(k) account and review your plan’s investment options.

   • If your plan allows for PCRA, you will see the "Brokerage Account” menu option displayed under the "Manage" menu section

2. Submit an application

   • Log into your NestEggs 401(k) plan account

   • After clicking the link Brokerage Account men link, click "Open a PCRA"

   • Accept the notices and disclosures and you will be redirected to Schwab's website to complete the application online

   • Allow 24 hours for your PCRA to be linked with your NestEggs account

3. Fund your PCRA

   • Once your account is open and linked to your NestEggs account, log into your NestEggs account again and transfer funds from your core investment options into the PCRA.

   • These transfers typically settle within 1–2 business days.

   • Update your investment elections for ongoing automatic deposits of your contributions to your PCRA

4. Start investing

   • After funding, log into your PCRA through Schwab.com or the Schwab mobile app.

   • Use Schwab’s tools to place trades, research funds, or manage your portfolio.

You’ll have access to:

• Thousands of mutual funds (many with no-load/no-transaction-fee options)

• Exchange-Traded Funds (ETFs)

• Individual stocks and bonds

• CDs, REITs, and more (subject to plan restrictions)

Note: Certain investments, such as options or margin trading, are not allowed in PCRAs within 401(k) plans.

• Fees: PCRAs may have trading fees, fund expense ratios, or annual maintenance fees (depending on the plan). See the Schwab PCRA Pricing Guide for Retirement Plan Accounts

• Risk: You’re responsible for selecting and monitoring your investments—there is no oversight from the plan fiduciary once funds are in the PCRA.

• Complexity: It’s ideal for experienced investors or those working with an advisor.

• Visit www.schwab.com/pcra to learn more about the account features

• Call Schwab PCRA Support: 1-888-393-7272 for questions related to your brokerage account

• For help with plan eligibility, limits, or transfers, contact your 401(k) provider’s customer service

Opening a PCRA through Schwab can give you more control over your 401(k) investments. Just be sure to understand the responsibilities that come with self-directed investing.