Badger
Thinks s/he gets paid by the post
- Joined
- Nov 2, 2008
- Messages
- 3,410
I have a self-directed retirement account with TIAA-CREF of approximately $150k that I can either start an annuity payout or roll into an IRA. If I go the annuity route the payout will be around 7-8k/yr and I will go from a 15% to the next higher tax bracket. If I roll into an IRA it will be subject to RMD at 70.5 which will be in 3 years but it will be earning interest (lets say 4%) which would be close to the RMD. At that time I will also be in a higher tax bracket because of other IRA money.
I don’t need the money for living expenses so it would be fun money, donations, and inheritance. Either way I could always invest the money in a taxable fund. Once I “buy the farm” the annuity will go up in smoke but the IRA and taxable fund will still be there.
It sounds to me like I would be ahead of the game to roll the money into an IRA. Did I give enough information? What is your opinion?
Cheers!
I don’t need the money for living expenses so it would be fun money, donations, and inheritance. Either way I could always invest the money in a taxable fund. Once I “buy the farm” the annuity will go up in smoke but the IRA and taxable fund will still be there.
It sounds to me like I would be ahead of the game to roll the money into an IRA. Did I give enough information? What is your opinion?
Cheers!