UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76883  
Subject: Re: Is there anywhere to rollover an annuity? Date: 1/30/2001 1:30 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Golfbagg asks:

My mother (late 70s) has an annuity that is only getting 5% interest and is past its surrender period. Her insurance man is trying to get her to do a 1035 into another annuity at 6.25%, but it comes with a 6 year surrender schedule.

If she doesn't want any immediate tax consequence, is this the only way she can go? As all of the money in this account is pretty much earning, is there anywhere else she can go with it and still stay tax deferred?

No, there is no other way to move the money elsewhere and maintain the tax-deferred status on the gains. She either uses another annuity to improve her return by buying it through a 1035 exchange, or she surrenders the annuity and pays ordinary income tax on the gain to invest elsewhere in a taxable account.

Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next


The Retire Early Home Page
Discussion on accelerating retirement day.
Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Supernova Explorer 1

The Follies of Market Timing
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.