Ask Terry Questions IRA ACCOUNT lock-in for 8 years??

IRA ACCOUNT lock-in for 8 years??

By Terry Savage on April 22, 2015 | Financial Planning / Retirement

I’m 70 year old will investing my money in Ira with a lock in for 8 years be wise

Terry Says:  Absolutely not.  I assume you’re talking about some kind of annuity.  But you don’t need an annuity for tax deferral.  Plus, you’ll need some liquidity for Minimum Required Distributions.  Whoever is suggesting you lock up your money for 8 years is trying to make a commission on a product being sold to you!  Forget it.  If this is a relatively small account, and if you don’t want to take any risk — leave the IRA in bank cds, even if you are earning almost no interest.  Or if it is part of a larger investment, consider a conservative mutual fund with a custodian like Fidelity, Vanguard or T. Rowe Price.

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