IRA transfer
I am having a monthly check from annuitized annuity sent to new custodian directly. company says this will violate 1 rollover rule per year.
I thought if went directly to new custodian this rule didn’t apply.
Checks are made out to new custodian FBO me.
Current custodian coding it as distribution but not marking it taxable but not determined.
I’m confused
Permalink Submitted by Alan - IRA critic on Tue, 2018-11-06 22:55
What is your age and what is the period of annuitization? If it’s a life or joint life annuity, the payments are considered RMDs and not eligible for rollover, even if you are under 70.5. But if the payments are not RMDs, they are eligible for a non reportable transfer to another IRA, which are unlimited in number. If the form of payout is not eligible for rollover the insurance company should not be issuing direct transfer checks. Better call the insurance company and ask for an experienced rep to clarify things.
Permalink Submitted by William Tuttle on Tue, 2018-11-06 23:04
redundant