19 min
TIAA Traditional - Avoiding Pitfalls w/ the 5yr Fixed Period Option TIAA Simplified for HigherEd
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- Education
Hey there, everyone! Greg Shepard here, and in today's Podcast episode, we're diving deep into a rather specific situation surrounding the 5-Year Fixed Period Payment Option within TIAA Traditional.
As someone who specializes in simplifying the complexities of TIAA accounts, I'm here to shed light on this topic and help you navigate through it.
Let me paint the picture for you. Just recently, I had a conversation with an individual from Arizona who found himself in a bit of a predicament with his TIAA retirement plan. He opted for the 5-Year Fixed Period Payment Option within his GRA account with his TIAA Traditional, directing payments to his rollover IRA at Schwab. However, things took an unexpected turn when he turned RMD age, triggering a series of events that he wasn't prepared for.
You see, when you select the 5-Year Fixed Period Payment Option and hit RMD age within that period, payments from TIAA are redirected to you directly, rather than to your IRA. This caught this individual off guard, leading to confusion and frustration.
So, what's the solution? Well, it's essential to understand the implications of your choices and plan accordingly. In this case, after he became a client, we continued both the RMDs from the IRA and the payments from TIAA, but directed the RMDs to a Trust account to avoid doubling his income.
This scenario highlights the importance of being proactive and seeking guidance before making decisions that could have significant consequences for your retirement plan.
If you're considering the 5-Year Fixed Period Payment Option or have any questions about your TIAA Traditional investment, don't hesitate to reach out. I'm here to help you navigate through the complexities and ensure you make informed choices.
Remember, knowledge is power, and being informed is the key to securing your financial future. Thanks for tuning in, and until next time, this is Greg Shepard from S&A Financial Services, wishing you all the best on your retirement journey.
Lastly, I wanted to let you know that my firm is looking to work with and help one new client per month. My firm remains highly specialized in simplifying the TIAA process and putting together strategies that are easy to understand. If you're within a few years, or a few days, of retirement and want to see if you 're a good fit for my firm. Please feel free to contact me to see how we can make your TIAA life a little easier.
TIAA Simplified YouTube Channel
📆 Jump on my calendar to see how we can improve your higher ed retirement plan
Website:
www.safinancialservices.com
email: greg@shepardfinancial.com
Connect w/ us
913-521-2381
*Disclosure* S&A Financial Services, Inc. is a registered investment advisor. Content presented is for informational purposes only and should not be considered as investment advice or as an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Always consult with your tax advisor or attorney regarding your specific situation.
Hey there, everyone! Greg Shepard here, and in today's Podcast episode, we're diving deep into a rather specific situation surrounding the 5-Year Fixed Period Payment Option within TIAA Traditional.
As someone who specializes in simplifying the complexities of TIAA accounts, I'm here to shed light on this topic and help you navigate through it.
Let me paint the picture for you. Just recently, I had a conversation with an individual from Arizona who found himself in a bit of a predicament with his TIAA retirement plan. He opted for the 5-Year Fixed Period Payment Option within his GRA account with his TIAA Traditional, directing payments to his rollover IRA at Schwab. However, things took an unexpected turn when he turned RMD age, triggering a series of events that he wasn't prepared for.
You see, when you select the 5-Year Fixed Period Payment Option and hit RMD age within that period, payments from TIAA are redirected to you directly, rather than to your IRA. This caught this individual off guard, leading to confusion and frustration.
So, what's the solution? Well, it's essential to understand the implications of your choices and plan accordingly. In this case, after he became a client, we continued both the RMDs from the IRA and the payments from TIAA, but directed the RMDs to a Trust account to avoid doubling his income.
This scenario highlights the importance of being proactive and seeking guidance before making decisions that could have significant consequences for your retirement plan.
If you're considering the 5-Year Fixed Period Payment Option or have any questions about your TIAA Traditional investment, don't hesitate to reach out. I'm here to help you navigate through the complexities and ensure you make informed choices.
Remember, knowledge is power, and being informed is the key to securing your financial future. Thanks for tuning in, and until next time, this is Greg Shepard from S&A Financial Services, wishing you all the best on your retirement journey.
Lastly, I wanted to let you know that my firm is looking to work with and help one new client per month. My firm remains highly specialized in simplifying the TIAA process and putting together strategies that are easy to understand. If you're within a few years, or a few days, of retirement and want to see if you 're a good fit for my firm. Please feel free to contact me to see how we can make your TIAA life a little easier.
TIAA Simplified YouTube Channel
📆 Jump on my calendar to see how we can improve your higher ed retirement plan
Website:
www.safinancialservices.com
email: greg@shepardfinancial.com
Connect w/ us
913-521-2381
*Disclosure* S&A Financial Services, Inc. is a registered investment advisor. Content presented is for informational purposes only and should not be considered as investment advice or as an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Always consult with your tax advisor or attorney regarding your specific situation.
19 min