Client has a 200K FIA annuity with Equitrust. He wants to rollover 20K into his IRA and make some trades. We have been trying to get the money out of Equitrust, it looks like Equitrust wants to keep the money forever. They have stonewalled the rollover worse than TIAA CREF. I am unsure if I can in the future put any of my clients money with them. First they sat on the partial rollover request, then they said they did not recognize where the money is going to and asked for a letter of acceptance. They did not like the letter of acceptance received so they called my client instead of calling me. Now they are asking for new signatures on the letter of acceptance. 3 months and Equitrust is still holding on to funds. I asked them to give me a written explanation of what they want, they refused, but I am reading on their agent website notes on the case and there they are asking for new signatures on the letter of acceptance. If anyone is placing new business with this company, just know how many tricks they pull to keep the money in house. Now Athenes will get more of my business going forward.
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- 5,778
Used them often in the past and recently rolled one after the husband passed because of the new law regarding spousal options. Things went reasonably quickly. Glad to see they worked out things with you.
Little thing I've learned in the past while conducting rollovers, often the receiving company needs to be on its toes and doing follow-up regularly.
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Can i ask what the new law is you mention about spousal options. I am either not aware of any recent laws impacting spouses or I have forgotten..
Curious as well.
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There are changes to non spouse distributions but I dont think there is anything changing for spousal IRA's. Also the regulations are TBA, read the latest from Ed Slott.
IRS Surprises with Apparent Explanation of the SECURE Act 10-Year Rule | Ed Slott and Company, LLC
IRS Surprises with Apparent Explanation of the SECURE Act 10-Year Rule | Ed Slott and Company, LLC
But none of those changes would create a rollover/transfer opportunity for a surviving spouse.
P.S. Love Ed Slott. IRA bootcamp was eye opening. Even if it was a long time ago...
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I was referring to the spousal transfer of funds after death. In this case the one spouse being beni to the deceased spouse. In the above mentioned case it was the difference between potential tax consequences vs. a clean roll and no taxes. If not mistaken, this is a rather new adjustment to the law, in the past few years or so.
Sorry for the confusion if I cause any.
- 4,576
I was referring to the spousal transfer of funds after death. In this case the one spouse being beni to the deceased spouse. In the above mentioned case it was the difference between potential tax consequences vs. a clean roll and no taxes. If not mistaken, this is a rather new adjustment to the law, in the past few years or so.
Sorry for the confusion if I cause any.
I am pretty certain the options & limitations for spouses are the same as before secure act. But I could certainly be wrong on that with so many moving parts
No worries.I was referring to the spousal transfer of funds after death. In this case the one spouse being beni to the deceased spouse. In the above mentioned case it was the difference between potential tax consequences vs. a clean roll and no taxes. If not mistaken, this is a rather new adjustment to the law, in the past few years or so.
Sorry for the confusion if I cause any.
I'm guessing that your case was non-qualified because post-death IRA transfers to a spouse have been around for a while.
Post-death 1035s were always difficult because most carriers wouldn't allow them. A private letter ruling 6-7 years ago clarified that they should be allowed so carriers started accepting them.
Maybe the secure act made that PLR part of the code?
