Rich_in_Tampa said:
Anyone know of a way to roll over all or part of an active 403B or 457 to my SEP IRA?
I and my employer are still making contributions. One is TIAA-CREF which at least has some adequate choices for my money. But the other is through Nationwide, and it is a dog.
I've been told that there is no way out as long as I am working and contributing. True?
Well, I know how to transfer it to a rollover IRA, not sure if a SEP IRA would be different.
First, someone mentioned using a 90-24 transfer. I believe you would use the 90-24 to direct transfer money from one 403(b) to another, not rollover to an IRA. This would include going from a 403(b) annuity contract to a 403(b)(7) custodial account. Note: IRS-proposed rule changes to the 403(b), set to go into effect January 2008, would eliminate the 90-24 transfer. Refer to
http://www.taxlinks.com/rulings/1990/revrul90-24.htm.
To direct transfer your money to a rollover IRA requires a qualifying event. Qualifying events include the employee attaining the age of 59.5, the employee separating from service, the employee dies or becomes disabled.
If you do not have a qualifying event, consider a direct transfer from your 403(b) (annuity contract) to a 403(b)(7) (custodial account). The new investment company must be on your employers approved list (to allow ongoing contributions) and must have distribution requirements at least as stringent as your current plan.
Here is a web site you should become familar with:
http://www.403bwise.com/ You can do you own research there.
Caveat Emptor: I'm a retired factory worker, not a financial consultant and am familar with this only to the extent of some casual reading. But you can read about it yourself at the web site I referenced. If you interpret anything in another manner than I did, please let me know as I'm trying to explain it to DW!
Good luck!
FinanceDude: Rather than PM Rich, please share all that is not confidential. Or, Rich please share what you learn.
