If you are changing jobs, retiring or need to decide what to do with the money left in your former employer's retirement plan, a Rollover IRA may be a beneficial retirement plan for you. A Rollover IRA is simply a Traditional IRA that will help you retain control, provide greater flexibility for your retirement savings and allow your savings to continue to grow tax-deferred.
If you roll over retirement funds to a Traditional IRA, it does not affect your eligibility to make a contribution for the current tax year.
Protection from Taxes
The primary advantage of a Rollover IRA is that it protects prior savings from taxes and penalties that might be due if you received the money yourself.
With a Rollover IRA, you don’t have to leave your savings under the control of your employer’s retirement plan. You control how your money is invested. You can even consolidate assets from more than one employer-sponsored retirement plan in a single Rollover IRA.
Your contributions and earnings grow tax-deferred until you take a withdrawal. Compounded tax-deferred growth allows your retirement savings to accumulate more rapidly than they would in a fully taxable account.
No Annual Fees
Modern Woodmen does not charge an annual fee for Traditional IRA administration.
Transfer Existing Rollover IRAs to Modern Woodmen
You can consolidate existing Rollover IRAs into a Rollover IRA with Modern Woodmen without causing additional income taxes or penalties.
More about Rollover IRAs
For more detailed information about Rollover IRAs, visit our description of Traditional IRAs.