Greater Return on Investment
I have an IRA fixed annuity that pays a guaranty 3%. It no longer has a surrender charge. I have another income source, so I only make RMD withdrawals from the annuity. I would like to rollover the funds into another investment where I can earn more interest. What do you recommend?
Read the recent article I wrote on multi-year guaranteed annuities — MYGAs. That might be a solution. But you would want to roll it directly into the new annuity. Please consult the resource I named in the column. And since you obviously now need to take RMDs, don’t lock all your money up. Remember, you can take withdrawals from any IRA, as long as you take the required amount. Some MYGAs will allow partial withdrawals for RMDs but make sure that is a provision of one you purchase.