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Greetings, Tom63376, and welcome. You asked:

<<We cashed out of my wife's pension fund after her first seven years of work to finance our home. We have the opportunity to reinstate those years by replacing the amount with interest. The question is, could I liquidate a variable annuity without tax penalty, etc. to replace the retirement account funds?>>

Your question is impossible to answer without knowing your entire financial and tax situation, the costs involved in the pension buyback, the type and provisions of the retirement plan itself, and a whole host of other issues. Generally, buying into a defined benefit pension plan when given the opportunity to do so results in a more secure retirement for you. We can't say for sure that it's "better" than what you're doing now because we're not in a position to either do the analysis required or to provide such advice. This is one instance in which to me it makes absolute sense to see a fee-only Certified Financial Planner who specializes in retirement planning. That person can run the analyses for you and clearly explain your options and the results of those options. In this case, it will be money well-spent.

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