I recently was layed-off and I was wondering if I can roll my 403b money into stocks and out of my mutual funds?
Sure thing! You have to start a "Rollover" or "Conduit" IRA at a broker (preferably an online deep-discount broker). Once the money is there, you can start buying stocks in your Conduit IRA.
Wait a minute! Most 403b plans are non-qualified retirement vehicles. If that is the case, you can't roll it to anything. Ask your former employer. Since you are laid off, this is probably a qualifying event that enables you to get at the money. Usually the option is to take it all at once, in which case you have to pay tax on it, or leave it as an annuity and take regular payments. You need to check with your employer to find out what your options are. Good luck! Chris
<< Wait a minute! Most 403b plans are non-qualified retirement vehicles.>>Wait a minute! Most 403b plans are qualified retirement vehicles for educational and non-profit organizations.
Crosenfield said:<< Wait a minute! Most 403b plans are non-qualified retirement vehicles.>>To which DoktorDi responded:<<Wait a minute! Most 403b plans are qualified retirement vehicles for educational and non-profit organizations.>>So Pixy adds:Point, game, set and match to DoktorDi. The majority -- if not the vast majority -- of 403b plans are qualified plans fully eligible for transfer to an IRA.Regards..Pixy
The 403b plan where I work isn't qualified, and therefore isn't transferable. It is best to know for sure before assuming one can transfer. Best regards, Chris
Chris -Actually, upon termination of employment you have options...(1) Leave the balance in the 403b account (and continue to manage it)(2) Transfer it to another 403b or 403b(7) account(3) Direct rollover to an IRA(4) Total or partial withdrawal (and pay tax + penalty for premature withdrawal before age 59½)You are not required to take installment payments (in the classic "annuity" mode, though it is an option).Best wishes, PP