Still employed can I convert my 457 to a Roth now?
This afternoon in St. Paul MN Ed breifly mentioned that one could convert a 457 plan into a Roth IRA at any time. Does anyone know if I could do this while I am still employed by the Park District if the 457 allows rollovers? Might they now allow conversions based on 2008 rule changes by the IRS?
Permalink Submitted by Alan Spross on Mon, 2008-10-27 02:52
The transfer to a Roth IRA should be available if you are otherwise eligible for distributions from the plan, but the new provision does nothing to change your plan’s restrictions for in service non hardship distributions. You will need to check the SPD or with the plan administrator to determine your options.
If eligible you can also take a distribution and roll it over yourself to your Roth IRA. The 100,000 MAGI limit continues to apply until 2010.
You are in a govt 457b plan, but note that such rollovers are not available for NON govt deferred comp plan employees.
Permalink Submitted by Al Fry on Mon, 2008-10-27 03:18
It also must be a 457(b) plan (most govt plans are). Al