72t question
I have a client who has both a traditional IRA and a 403b. She is taking 72t payments from both accounts. The question is can the 403b be rolled into the IRA and then payments continue to her from the IRA for the total amount she is currently receiving from both accounts?
Permalink Submitted by Alan Spross on Fri, 2010-09-17 21:55
No. These must continue as totally separate 72t plans independent of each other. Combining the balances would bust both plans, the 403b for transferring to a different type of retirement plan and the IRA based plan because of a disallowed contribution.