Announcement

Collapse
No announcement yet.

Annuity

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Annuity

    I have a client that wants to take money from an IRA and purchase an annuity. Am I correct in telling them that for this to be a tax-free event, the annuity must be in an IRA?

    Gary

    #2
    The only way I know for this to be a tax free event is to

    Originally posted by Gary View Post
    I have a client that wants to take money from an IRA and purchase an annuity. Am I correct in telling them that for this to be a tax-free event, the annuity must be in an IRA? Gary
    do a custodian transfer to another custodian transfer and remain an IRA.

    Gary, hopefully you are licensed to sell fixed annuities for if you are and a fixed annuity if what your client desires, you probably make much more on commissions then your tax prep fee.

    Comment


      #3
      IRA to Annuity

      Yes, he can rollover his IRA to an Annuity that is "classified as a Rollover IRA or qualified IRA"
      I always recommend that it is a "Direct Rollover" from Company A to Company B - Most Annuity Companies (Insurance Cos) have a form to complete the transfer.

      Sandy

      Comment

      Working...
      X