New legislation for distribution of 457 accounts?

[Guest T Bradley]

Has legislation been passed yet that will allow me to roll over the funds in my 457 account to an IRA, upon retirement?

[Michael Devault]

Not yet. It's part of HR5203 that is supposed to be addressed when Congress returns after recess. It's been passed by the House, but is still awaiting floor action from the Senate.

Personally, I wouldn't expect anything to happen in light of the election questions. I suspect that nothing will happen until the new Congress convenes next year.

[Ellie Lowder]

Actually, at last look, the bill # had once more changed to H.R. 2614 - Congress keeps attaching the very popular pension measure to other issues in an effort to get less popular issues passed. While Congress is currently planning to return on December to take up appropriations bills and other measures, I don't really see much hope for pension changes this year (in light of the current lack of final elections results) - although one prominent legislator did say it has a "50-50" chance for passage yet this year.