SEP IRA to IRA

A client has a SEP IRA at one firm that he currently adds to, and a variable annuity titled in a SEP with another.

He wants to transfer the variable annuity to another annuity to increase the payout. Does he need to have the new annuity titled as a SEP or can he transfer it to an IRA in his name?

And to confirm the SEP IRA’s and the traditional IRAs are all aggregated together for the RMD and he can take from either account to satisfy it as he is 75.

 



Yes, the RMDs can be aggregated.

The VA SEP can also be transferred to a traditional IRA annuity with a new custodian. Direct transfers do not affect the RMD for the year.

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