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What options to I have with my 403B; former co. changed from Fidelity to TIAA?

I recently retired from company; have 403b through Fidelity. Can I roll over to Fidelity IRA or do I have to stay with TIAA. The company is Muscular Dystrophy Association.

Feb 11, 2014 by susan from Jacksonville, FL in  |  Flag
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5 votes

403(b) plan benefits, options & restrictions will vary from plan to plan. You'll need to carefully review your plan documents to learn about your plan benefits. If this seems overwhelming as it does for many, you'll want to seek out a professional who has experience with 403(b) plans in general who can walk you through how your plan works. Then depending upon your specific needs and wishes you can determine the best plan of action in moving forward.

Comment   |  Flag   |  Feb 13, 2014 from Milford, MI

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You should also get a detailed description of the distrobution rules for your 403(b) and an IRA. there can be differences and depending on your age and your need to access the money leaving some funds in your 403(b) could be appropriate for you. Many 403(b) plans have stipulations where the owner can take funds out without a tax penalty if they are retired and not yet 59 1/2 years old.

1 Comment   |  Flag   |  Feb 12, 2014 from Holbrook, NY
William Clay Tucker, RICP, CAP, CRPS,...

Good point.

Flag |  Feb 12, 2014 near Canton, GA

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3 votes

If you have retired, you should be able to rollover your funds into an IRA with Fidelity, or any provider. If the money has already moved to TIAA, then just call them and tell them you want to do a direct rollover of funds to your IRA.

At the same time, you will contact Fidelity or other provider and tell them that you want to setup an IRA to receive those rollover funds.

Good luck.

Comment   |  Flag   |  Feb 11, 2014 from Bridgewater, NJ

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You have the ability to rollover your 403(b) to any other IRA custodian of your choosing. Fidelity is a very good option. Get with an advisor and determine what you need these funds to do for you over your retirement years.

Comment   |  Flag   |  Feb 12, 2014 from Canton, GA

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I recommend a financial advisor as well. One other issue you may have if your account is actually with TIAA Cref is that the Traditional Account can only be rolled or withdrawn at a rate of 10% per year. Some of your account may be in the Traditional Account.

Comment   |  Flag   |  Feb 12, 2014 from Powell, OH

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Daniel Glanville Level 10

Susan, another option would be to utilize TIAA-CREF's participant choice model for advisors. This is a program they set up to allow clients with money at TIAA-CREF to seek outside advice without moving the money out of TIAA. This is especially critical with the accounts there that charge you a fee for transferring your money, and it saves on any transfer fees that could occur during the transfer. If this is something you are considering make sure your advisor is part of the Participant Choice Model at TIAA-CREF (and has a Master Selling Agreement) otherwise he is just going to transfer your money out of TIAA and into a fund that he/she can manage, which could charge a fee for the transfer and will likely have a higher annual fee that what you pay at TIAA-CREF. This option also works for many other public employee benefit plans.

Comment   |  Flag   |  May 20, 2014 from Colorado Springs, CO

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