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Ken writes:

<<Pixy, you say "Any after-tax money in your plans may not be transferred to an IRA. You will receive any after-tax money from the plan(s) free of tax and can do with it what you wish."

My question: what about the EARNINGS on the after-tax contributions? Is that included with the after-tax monies to be done with as one wishes, or is that included with the before-tax monies that are rolled over into an IRA?>>

As Pauleckler points out, earnings may and should be transferred to the IRA. You have never paid income tax on them, so they are eligible for the transfer. The after-tax contributions are the only money that cannot be put into the IRA. And, because the tax on that sum has already been paid, you may do with it what you wish. It just cannot continue to grow in a qualified retirement plan on a tax deferred basis.

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