5 Replies Latest reply on Nov 26, 2013 1:58 PM by herbyreed

    TIAA & CREF

    Celsa
      I stopped working for Drew University in 2003 and moved to another city, but left my retirement account with TIAA-CREF.  Since I am nearing retirement, I called TIAA-CREF to roll over retirement account into my present employer's retirement plan.
       
      Lo and behold, I found out that the funds invested in the TIAA portion cannot be "rolled over" in one lump sum.  Instead, the only option is to have it rolled over once a year during  the next 9 year period!!!  What a total shock. 
       
      Well, my choice at this point is to leave it where it is - not accomplish the goal I had which was to consolidate everything. 
       
      Did anyone else run into this problem?
        • Re: TIAA & CREF
          JerryD
          Sounds like you put all of your money into TIAA Traditional that does have the 9-year restriction. I am not aware that other accounts have such restrictions withdrawals, except Real Estate that has a one-trade a quarter restriction. 
           
          I did such a withdrawal years ago in order to get away from this account and to gain flexibility for future investments. I also converted my employer plan to an IRA to insure flexibility on where I can invest. I have, however, stayed with TIAA-CREF due to the small number of fairly good accounts that I can understand into retirement. I gave up on figuring out and chasing 15,000 mutual funds and ETF's.
          • Re: TIAA & CREF
            Art
            Set up an annuity with TIAA/Cref when your ready to start withdrawing for retirement.
            • Re: TIAA & CREF
              herbyreed
              Well, my choice at this point is to leave it where it is - not accomplish the goal I had which was to consolidate everything. 
               

              "Consolidating everything" should not be the goal. Payouts can be direct deposited into your bank account, there is no inconvenience to having several sources of income.  In fact, having several sources could be thought of as insurance against one fund being mismanaged - a little diversity is better.   You should consult a financial counselor to determine what is best and also help you weigh potential risks and cost in terms of transaction fees of any changes. And your current plan is not necessarily any better financially than the traditional TIAA annuity - which should be the goal rather than consolidation.