No. of Recommendations: 0
Greetings, Etimbus, and welcome. You asked:

<<I just found out the other day that my mother has a 10 year annuity through a insurance company. They have been sending her lots of letters lately about reinvesting with them, and not to let anybody talk her out of it. Yeh. I told her that annuities are not a real good investment and she could do better elsewhere. Is it possible to roll it into one of her IRA's or is she going to get taxed on liquidating it no matter what. >>

If (and only if) originally that annuity was purchased inside of an IRA or as part of a qualified retirement plan like a 403b or 401k, then the proceeds of that annuity may be transferred to IRA of her choice on its surrender. Otherwise they cannot, so your mother will pay ordinary income taxes on any gain within that annuity when she liquidates it.

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!
Live Video Event Monday!
The GP team is hosting a live video event on Monday at 4 p.m. ET. Don't worry if you can't make it — we'll have a replay and a transcript. Click for more!
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.