Ask Terry Questions Pension fund

Pension fund

By Terry Savage on September 07, 2018 | Wild Card

I have a pension fund sitting and not collecting interest. I am57 not ready to start getting monthly stipends. I would like to take it out and put it into an interest bearing retirement account. Is that possible without being charged interest?
Thank you

Terry Says

Wait — I am quite sure you do not understand what you have! You can’t do anything with a traditional pension fund! It is under the management of the company or employer that created it for you — and you can only take it out when you retire in the options they offer, typically a lifetime income or a lump sum, which you would roll over.

Are you taking about a 40l(k) or IRA plan? If so, where is it “sitting”? And why isn’t it earning anything?? This is a very confusing post — and it could be a very valuable asset for your eventual retirement — so please write back with details.



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