Guest mondo571999 Posted December 30, 2004 Posted December 30, 2004 I will be rolling a 403(b) into a IRA which the agent tells me will work then when I'm ready to retire, if it hasn't made 6%, then all the years can be reworked & changed. Has anyone heard of this?
SoCalActuary Posted December 30, 2004 Posted December 30, 2004 Could you break your sentence down into separate thoughts? I don't understand what you are asking.
Guest mondo571999 Posted December 31, 2004 Posted December 31, 2004 OK. An agent has suggested I roll a 403(b) account into one of their IRA accounts. According to the agent, there is a bonus for signing on. This will more than pay for the withdrawal fees. The IRA will be put into an "Accumulator". It will be moderate/conservative. No additional contributions will be made, since I will be contributing to another 403(b). At the time of my retirement, in about 20 years, if the return is not 6%, then the company will go back & credit the account for 6% each year...Has anyone heard of this type of account?
GBurns Posted December 31, 2004 Posted December 31, 2004 This sounds like a single premium Bonus annuity. Accumulator sounds like an Allianz product. I do not like the agent's description. Ask for a sample policy so that you can see contractually how this will work. Sample annuity policies are readily available to agents for free. Also get an official illustration. An illustration in a state approved format which shows both guarantees and projections is required by law in many states. It is free and it is required that he give it to you at time of solicitation NOT at time of sale, so you should already have this, if not Why not? George D. Burns Cost Reduction Strategies Burns and Associates, Inc www.costreductionstrategies.com(under construction) www.employeebenefitsstrategies.com(under construction)
Guest mondo571999 Posted December 31, 2004 Posted December 31, 2004 Absolutely. I received a disk. The agent from AXA Equitable said the prospectus was on it. The 403(b)s are on it, but not this IRA Accumulator. I've already called & left a message requesting the prospectus. I will now also ask for this sample policy and an official illustration. Thank you so much for your advise!
GBurns Posted January 4, 2005 Posted January 4, 2005 Although the agent might be from AXA, is the product (IRA Accumulator) also from AXA? George D. Burns Cost Reduction Strategies Burns and Associates, Inc www.costreductionstrategies.com(under construction) www.employeebenefitsstrategies.com(under construction)
Guest Kolderhere Posted January 6, 2005 Posted January 6, 2005 You say that you will continue to make contributions to another 403(b) account. If you are still with the same employer you don't have the necessary triggering event that would allow you to roll your existing 403(b) into an IRA. It would need to be transferred to another 403(b). Be cautious with this kind of transfer to a "bonus" style product. When you transfer you are often initiating a new clock on surrender charges. Evaluate the expenses carefully.
Guest mondo571999 Posted January 6, 2005 Posted January 6, 2005 GBurns: good question. I will let you know when I speak to her again. Kolderhere: Wow. I'm not leaving the employer. I can't transfer 403(b) into an IRA account?
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