Non Taxable Pension
Our client has a “Drop” pension through the State of Michigan, and apparently distributions from this plan are non-taxable. Could this be rolled directly to a Roth IRA once he retires?
Our client has a “Drop” pension through the State of Michigan, and apparently distributions from this plan are non-taxable. Could this be rolled directly to a Roth IRA once he retires?
Permalink Submitted by Alan Spross on Thu, 2010-03-25 00:01
You might recheck the non taxable issue, but DROP plans are generally qualified plan under Sec 401a and therefore are eligible retirement plans for rollover to a Roth IRA.