Spousal Beneficiary

[Nassau]

A spouse beneficiary would like to roll the pretax assets in the plan to her Roth IRA at an outside institution. Is this permissable and if so how is it accomplished? Is there any tax withholding?

[mbozek]

A spouse beneficiary would like to roll the pretax assets in the plan to her Roth IRA at an outside institution. Is this permissable and if so how is it accomplished? Is there any tax withholding?

Surviving spouse who is beneficiary of a deceased spouse's interest in a qualified/403b plan can roll the funds directly to a Roth IRA without income tax witholding. See Pub 590, P 63-64. However estimated taxes may be required to be paid. See instructions to 1040-ES form.