Convert annuity to no cost IRA?
My financial advisor from VALIC ( AIG) is encouraging me to convert my retirement account to a no cost IRA. Advantages/disadvantages? I would appreciate any advice.
Thanks[/b]
My financial advisor from VALIC ( AIG) is encouraging me to convert my retirement account to a no cost IRA. Advantages/disadvantages? I would appreciate any advice.
Thanks[/b]
Permalink Submitted by Alan Spross on Sat, 2008-10-04 00:30
What type of retirement account is this? You mentioned an annuity. Is this a 403b account? If it is a non qualified annuity, you cannot change it to an IRA.
Permalink Submitted by mk foss on Sat, 2008-10-04 00:50
The advantages of an IRA at the death of the owner are that each beneficiary can use their own life expectancy to take RMDs. That’s often not the case with other types of retirement plans.
But as Alan implies, you need to know exactly what you’re comparing the IRA with.
Permalink Submitted by Alan Spross on Sat, 2008-10-04 04:06
With respect to VALIC, you may be interested in the following:
http://www.403bwise.com/pdf/AIG_10-3-08_Press_Release.pdf