Skip to main content
No. of Recommendations: 0
I have an Annuity with TIAA-CREF that is several years old (more than 5). It is a low-cost variable annuity and the subaccount (an Equity Index Fund) where I have the money invested has performed reasonably well.

Can anyone give me some advice as to whether or not:
A) Is it possible to roll this money over into an IRA,
B) If it is possible, are there any significant tax advantages or disadvantages to doing so?

My major concern is that it is my understanding that the earnings on these investments will be taxed at regular income tax rates and not at capital gains rates once we begin taking distributions. The current value of these funds is a little under $20,000. I am in my early 30's, so they will likely grow significantly before retirement. Our current household income is around $70,000, but my wife is a medical student and I expect that we will be in a fairly high tax bracket by that time as well.

Any thoughts?
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.
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.