Announcement

Collapse
No announcement yet.

403b prudential to 403b vanguard rollover

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • 403b prudential to 403b vanguard rollover

    wanted to rollover my Prudential 403b over to my Vanguard 403b. I am no longer employed by either hospital. I called vanguard and they said they cannot do that since I am no longer employed by the hospital that sponsers my Vanguard 403b. They said the only option was to roll my vanguard 403b into a Vanguard IRA and then take the prudential 403b into the vanguard IRA as well. Can/should I do that? Is there another option? I want to keep it pre-tax, I will not do a roth conversion. thanks!

  • #2
    yes you can't do this if you aren't employed there anymore. Too late unfortunately. If you roll it over to an IRA and you don't have any other pre-tax accounts, you'll hinder your ability to do the backdoor Roth IRA if you're still earning income

    Comment


    • #3
      Are you employed and have a 401k now? Or a gov’t 403b? Or self-employed with a solo-k? You know you can r/o to these, too, if they allow (and prob do).
      Our passion is protecting clients and others from predatory and ignorant advisors. Fox & Co CPAs, Fox & Co Wealth Mgmt. 270-247-6087

      Comment


      • #4
        Originally posted by jfoxcpacfp View Post
        Are you employed and have a 401k now? Or a gov’t 403b? Or self-employed with a solo-k? You know you can r/o to these, too, if they allow (and prob do).
        not eligible for the 401k until 12 months into new job. will do it at that time, alternative would be just to put it in my traditional IRA now right? but then cant do bdrIRA

        Comment


        • #5
          Originally posted by GastroMastro View Post

          not eligible for the 401k until 12 months into new job. will do it at that time, alternative would be just to put it in my traditional IRA now right? but then cant do bdrIRA
          When will your 12 mos be up? I'd recommend transacting the BD Roth for both 2021 and 2022 between 1/1/22 and 4/15/22 so you can do both yrs at once. You'll have been there 1 yr sometime in 2022 and all you have to do is r/o orphan 403b to your new 401k before 12/31/22. Just make sure the new 401k accepts rollovers from other plans.
          Our passion is protecting clients and others from predatory and ignorant advisors. Fox & Co CPAs, Fox & Co Wealth Mgmt. 270-247-6087

          Comment


          • #6
            Is there some reason why you are in a hurry to roll both of those old 403b plans into something right now? If not, why now wait and roll them both into your new 401k next year (assuming the plan allows rollovers). Then you can do your 2021 BD Roth now (or wait until 2022 and do both years at once, as Johanna is suggesting).

            Comment


            • #7
              Originally posted by artemis View Post
              Is there some reason why you are in a hurry to roll both of those old 403b plans into something right now? If not, why now wait and roll them both into your new 401k next year (assuming the plan allows rollovers). Then you can do your 2021 BD Roth now (or wait until 2022 and do both years at once, as Johanna is suggesting).
              yes, you are totally on point. I'll just wait and do the rollover to the 401k next year, and if by chance the plan doesn't allow roll overs, then I'll figure something else out. I am not in a hurry, but I do enjoy consolidation

              Comment


              • #8
                Originally posted by GastroMastro View Post

                yes, you are totally on point. I'll just wait and do the rollover to the 401k next year, and if by chance the plan doesn't allow roll overs, then I'll figure something else out. I am not in a hurry, but I do enjoy consolidation
                Consolidation is very nice, but unlike a nongovernemental 457b, there is little risk in leaving your money in your old employers'' 403b accounts. So all is not lost if your new plan won't allow rollovers; you can always leave that money where it is for now should that be the case. Just don't forget those accounts exist! When the time comes that you are working at a place where the 401k/403b does allow rollovers or when you are ready to retire and no longer need to keep the Backdoor Roth option open, you can consolidate everything then.

                Comment

                Working...
                X