transfer from 457b while still employed with employer?

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mesaverde
Posts: 439
Joined: Wed May 02, 2007 4:14 pm

transfer from 457b while still employed with employer?

Post by mesaverde » Tue Sep 11, 2007 8:42 pm

I have been doing some reading and haven't found an answer about this:

I can contribute to a 457b with my employer, but only to high cost variable annuity products. Is it possible to do a transfer to, say, a Trad. IRA with another company such as Vanguard? This would be while still employed with the same employer. I think there is at least one company on my employer's list that does not charge a surrender fee from the 457. Thanks!!

gerry lef
Posts: 49
Joined: Fri Apr 13, 2007 11:53 am
Location: CA

Post by gerry lef » Wed Sep 12, 2007 9:59 am

Sorry for the bad news, but governmental 457b plans, withdrawals are permitted ONLY after severance from employment.

You could try to change your plan, I know it is an uphill battle but it is worth a try.

Here are consolidated points for improving your plan that I posted on the 457bwise.com site. Many of these points have been discussed on this board as well so you can do a search.


http://bwise.ibforums.com/index.php?showtopic=2461

Gerry L.

hoxbox
Posts: 74
Joined: Sat Sep 08, 2007 7:55 am

Post by hoxbox » Wed Sep 12, 2007 10:33 pm

There's no way to convert 401(k) or 403(b) plans to IRA when you are still employed with the plan's employer... Unless there's a loophole I don't know about...?

gerry lef
Posts: 49
Joined: Fri Apr 13, 2007 11:53 am
Location: CA

Post by gerry lef » Thu Sep 13, 2007 9:58 am

hoxbox, 403b do have exceptions but this is changing.

People more knowledgeable than me are up to speed on this. Follow this link if you like:
http://socialize.morningstar.com/NewSoc ... 06026.aspx

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