Tax

Have a Tax Question? Ask a Tax Expert

Ask an Expert,
Get an Answer ASAP!

Tax

I am retired but serving on a City council since 2000. While

Customer Question
I am retired but serving...
I am retired but serving on a City council since 2000. While I was working I set aside 100 dollars a month in a City approved ICMA differed fund for four years. I am now 68 and looking to combine all of my retirement funds into one account.
The problem is that I am still serving on the Council. They tell me it can't be moved to my B of A account.
Can I?
Thank you for your Consideration
Submitted: 2 years ago.Category: Tax
Show More
Show Less
Ask Your Own Tax Question
Answered in 16 minutes by:
6/5/2015
Tax Professional: Lane, JD, CFP, MBA, CRPS replied 2 years ago
Lane
Lane, JD, CFP, MBA, CRPS
Category: Tax
Satisfied Customers: 12,876
Experience: Law Degree, specialization in Tax Law and Corporate Law, CFP and MBA, Providing Financial & Tax advice since 1986
Verified
Hi,
There are two different sets of rules for a 457 plan like this.
(1) The Plan's "Plan Document," and
(2) the IRS rules for rollovers.
If you'll look at this IRS rollover chart, you see that th 457 plan (that's what this is) CAN be rolled to an IRA IF the plan has separate accounts (many governmental plans like this don't actually have separate accounts ... the money is pooled and there is accounting done that allocates the dollars that are yours (from the pool back to you).
SO, from and IRS perspective (number (2) above) if your plan has separate accounts, you can LEGALLY do this.
The other set of rules, however, is what YOUR PLAN allows. And as you can see from this information from IMCA, it looks as if their plans are designed such that you must have completely separated from service (any working relationship with the City) in order to make a withdrawal (even a rollover).
See this:
http://www.icmarc.org/products-and-services/457-deferred-compensation-plans.html
If you'll scroll down tho the section on withdrawals, you see that they say this:
"You can make withdrawals from your account when you leave employment. You have the ability to take payments as needed or request scheduled automatic payments. You maintain control over your investments and continue to benefit from tax deferral even after you leave your employer.
During employment, subject to your employer and IRS rules, you may also be able to make withdrawals after age 70½ or due to an unforeseeable emergency. A loan option may also be available."
You should ask if the plan has separate accounts... If not then this is not allowable from a LEGAL perspective.
If it DOES have separate accounts, then the next step would be to ask to see the "plan document," which they must provide by law, to see if in-service withdrawals are possible.
My best guess (not having ALL the facts) from looking at how IMCA designs their plans is that this may not be possible ... but there's no reason not to have ask about separate accounts and then look at the plan document to see for yourself.
Hope this helps
Le me know if you have questions ...
Lane
If this HAS helped, I would appreciate a positive rating (using the stars or smiley faces on your screen)… That’s the ONLY WAY I'm credited for the work here.
Ask Your Own Tax Question
Tax Professional: Lane, JD, CFP, MBA, CRPS replied 2 years ago
Hi,
… just checking back in to see how things are going.
Did my answer help?
Let me know…
Lane
Ask Your Own Tax Question
Tax Professional: Lane, JD, CFP, MBA, CRPS replied 2 years ago
Hi,
... just checking back in one more time.
I am a Chartered Retirement Plans Specialist (CRPS) along with being a CFP and have a law degree.
Retirement Plans is what I do.
Be glad to mke a call for you and check into some of the things I mentioned (finding out of your account as separate accounts and whether the pan document allows for rollovers, etc.)
Let me know ...
Lane
If this HAS helped, I'd appreciate a positive rating, using the smiley faces or stars on your screen ...   that's the ONLY WAY I'm credited for the work here
Ask Your Own Tax Question
Ask Lane Your Own Question
Lane
Lane
Lane, JD, CFP, MBA, CRPS
Category: Tax
Satisfied Customers: 12,876
12,876 Satisfied Customers
Experience: Law Degree, specialization in Tax Law and Corporate Law, CFP and MBA, Providing Financial & Tax advice since 1986

Lane is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,300 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,310 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

Robin D.

Robin D.

Senior Tax Advisor 4

13,695 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,651 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

R. Klein, EA

R. Klein, EA

Enrolled Agent

1,839 satisfied customers

Over 20 Years experience

< Previous | Next >

Related Tax Questions
In a divoice. I am retired. My wife by law gets half my
In a divoice. I am retired. My wife by law gets half my pension, $ 217,964.61. Now they want 20% gross up for tax on the maximum transferable portion of my Omers pension of $ 217,964.61. Which adds up… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
What are the rules for a utma account. California. Can i pay
what are the rules for a utma account JA: Because laws vary from place to place, can you tell me what state this is in? Customer: california JA: Has anything been filed or reported? Customer: no JA: A… read more
Chad CFP ®
Chad CFP ®
Certified Financial Planner(R), Pro
Master\u0027s Degree
736 satisfied customers
I applied for retirement benefits around 2 August of this
I applied for retirement benefits around 2 August of this year.. When do I get my first check? … read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,483 satisfied customers
I am retired and my only income is SS retirement benefits.
I am retired and my only income is SS retirement benefits. My wife works and will make about $40,000.00 in 2017. I want to file married filing separate for 2017 - avoiding an any tax on my SS benefits… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
I'm retired, receiving ss retirement benefits. From this
I'm retired, receiving ss retirement benefits. From this year I receive also social security retirement payments from Slovakia, where I lived and worked until 1986. Question: are these payments fro Sl… read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,483 satisfied customers
What are tax rules for an inherited Roth IRA, GA, the
what are tax rules for an inherited Roth IRA JA: Since estate law varies from place to place, can you tell me what state this is in? Customer: GA JA: What documents or supporting evidence do you have?… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Miss are social security benefits taxable by the irs. Are
miss Wilson are social security benefits taxable by the irs … read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
I have an old 457b retirement plan from a county government
I have an old 457b retirement plan from a county government job. I have not worked there in over 14 years. Is it possible to roll the money in it into an existing IRA, or 401k? Dwight, Maricopa, AZ.… read more
Mark Taylor
Mark Taylor
Certified Public Accountant
Masters
2,226 satisfied customers
Can the IRS levy against personal checking account if you
Can the IRS levy against personal checking account if you own a corporation that owes taxes … read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
I have a summary of my retirement plan balances. MGH says
I have a summary of my retirement plan balances. MGH says they do not owe me the money. It doesn't say projected or estimated, it says my balance as of 12/31/13 is 14, 698.00. Don't they owe me this m… read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
Retirement Plans S-Corporation has one shareholder. Through
Retirement PlansS-Corporation has one shareholder. Through 2016, retirement plan was a SEP and the only qualifying employee was the shareholder. As of September 1, 2017 another employee will qualify f… read more
PDtax
PDtax
Owner
Master\u0027s Degree
1 satisfied customers
I am trying to find out about a retirement plan Tax code
I am trying to find out about a retirement plan Tax code 702j retirement account? … read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,483 satisfied customers
Is Worker's Compensation payment to be added as income? I
Is Worker's Compensation payment to be added as income? … read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
Generally, 403()9 church retirement plans are not subject to
Generally, 403(b)9 church retirement plans are not subject to SECA taxes on ministerial salary reduction contributions. In other words, ministers will save almost 15 percent in SECA taxes by using a c… read more
Mark Taylor
Mark Taylor
Certified Public Accountant
Masters
2,226 satisfied customers
Ex-wife inherited retirement account from TIAA, would rules
Ex-wife inherited retirement account from TIAA, would rules under ERISA prevent creditors from reaching it? Can IRS reach it to pay decedent's back taxes owe and the taxes owe in the last income tax r… read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
I contributed 18000 dollars to my 403b retirement plan by
I contributed 18000 dollars to my 403b retirement plan by June 30, 2017. From July 1, 2017, I am eligible for a matching contribution from my employer upto 5%. Given the annual limit of combined contr… read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
My husband and I are retired and not employed. The rules
My husband and I are retired and not employed. The rules governing health care spending accounts seem to require that one be set up by an employer. We suddenly have thousands of dollars of medical exp… read more
Lane
Lane
JD, CFP, MBA, CRPS
12,876 satisfied customers
In Pennsylvania, a have a retirement plan administered
In Pennsylvania, a have a retirement plan administered through Metlife. On the tax form they ask about classification and if it is qualified. … read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x