The New Year brings change to person goals, change in the minimum wage, and nationwide a change regarding Individual Retirement Accounts (IRAs). It will affect people who have multiple IRAs.
To temporarily take money out of an IRA account, called a rollover, was not uncommon during the recession years. People have been allowed to do one rollover per 12 months per IRA account, if they have multiple. But in 2015 IRA rollovers are only allowed once per person, per 12 months.
Welberry: “If I have 10 IRA accounts, I can still only do one rollover, meaning take the money out of an IRA and put it back in within 60 days, I can only do that one time in a 12 month period.”
Sue Welberry is Director of Operational Services for Spokane Teachers Credit Union, STCU. She says it’s a change in the way the U.S. Tax Court interprets IRA’s, stemming from a 2014 case. Welberry says rollovers have been a way for people to give themselves a short term loan.
Copyright 2014 Spokane Public Radio
