I currently participate in my university's 403(b) plan, which is administered by TIAA-CREF. I also have two IRAs, but they are with other financial services firms, and I'd like to consolidate my assets. How difficult is it?
* * *
Ray Belluci
Vice President, Product Management
Individual Client Services, TIAA-CREF
It's actually very easy. If you have a traditional IRA with more than one financial institution, or if you still have retirement savings in a previous employer's retirement plan, you can consolidate those assets into a no-feei IRA with TIAA-CREF.
Since you're already thinking about consolidating your retirement assets, you are probably aware of the benefits, which include simplified recordkeeping and retirement income management. Once you consolidate assets, you will receive only one statement, so you'll be able to see your asset allocation and total accumulation at a glance. And when you retire, you won't need to manage accounts and income from multiple sources.
What you might not know is that the TIAA-CREF IRA is uniquely designed to complement your TIAA-CREF workplace plan. It even offers the option of guaranteed lifetime income.ii
You'll be able to contribute to your TIAA-CREF IRA even though you already participate in a 403(b) at your university, which can help you continue to build retirement savings during your peak earning years.
Whenever you think about transferring assets, you should always consult with your own tax advisor, since there may be tax consequences associated with certain kinds of transfers. You should also compare the benefits of your current IRAs with those of the TIAA-CREF IRA. There will likely be differences in features, costs, surrender charges, services, company strength and other important aspects.
For example, there is no fee to open or maintain a TIAA-CREF IRA, which means that more of your money stays in your portfolio, working for you.
Your investment choices include TIAA-CREF's well-known family of annuity accounts and mutual funds, as well as thousands of non-TIAA-CREF mutual funds (many with no loads and no transaction fees)iii , stocks, bonds, FDIC-insured certificates of deposit (CDs)iv and other investment options.
Our consultants can provide you with objective, personalized investment advice to help you determine which investments are appropriate for your portfolio. You can also use the advice service to decide how much you'd like to contribute to your IRA each year, and to explore asset allocation strategies that can maximize your investment potential. All this comes at no additional cost to you. And because our consultants receive no sales commissionsv, you can be sure of getting answers that are in your best interest.
TIAA-CREF offers a number of online resources to help you learn more about the benefits of consolidation and choose the IRA that's right for you. If you have questions, you can have an IRA specialist contact you.
Then, see how easy it is to roll money over to a TIAA-CREF IRA.
IRA offered by Teachers Insurance and Annuity Association. Annuity contract form series IRA 1280.2 and 1280.4. (Not available in all states.)
Investing involves risk, including possible loss of principal. Of the products discussed on this page, only CDs are FDIC-insured. Securities products are not FDIC-insured, not bank-guaranteed and may lose value.
Advisory services are provided by Advice and Planning Services, a division of TIAA-CREF Individual & Institutional Services, LLC. Annuity products are issued by TIAA (Teachers Insurance and Annuity Association), New York, NY.
You should consider the investment objectives, risks, charges and expenses carefully before investing. Please call 1 877-518-9161, or go to www.tiaa-cref.org for a current prospectus that contains this and other information. Please read the prospectus carefully before investing.
iThere is no account fee to own a TIAA-CREF IRA; however, brokerage transaction fees or underlying fund management expenses may still apply. You should evaluate all fees and expenses when making an investment decision.
iiThe guarantee is backed by the financial strength and claims-paying ability of Teachers Insurance and Annuity Association (TIAA), which is one of only three U.S. insurance company groups to receive the highest ratings from the nation's four leading rating agencies. A++, A.M. Best Company (as of 6/07); AAA, Fitch (as of 5/07); Aaa, Moody's Investors Service (as of 5/07); AAA, Standard & Poor's (as of 7/07) - the highest possible ratings from these independent analysts. These ratings of TIAA as an insurance company do not apply to the TIAA Real Estate Account, to CREF or to the mutual funds.
iiiBrokerage transaction fees may apply if brokerage services are used. And as with any investment vehicle, investors are subject to the underlying funds? portfolio management fees and expenses.
ivFDIC insurance covers up to $100,000 per institution per category of account, or up to $250,000 in qualifying retirement accounts.
vTIAA-CREF consultants receive no commissions. They are compensated through a salary plus an incentive program that emphasizes client service excellence.
© 2009 and prior years, Teachers Insurance and Annuity Association - College Retirement Equities Fund (TIAA-CREF), New York, NY 10017
