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MTZ

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  1. MTZ

    457b To Ira

    The distribution was sent to the IRA Custodian. The check was payable to the IRA Custodian. Check was endorsed by the IRA Custodian and was then given to the employee.
  2. MTZ

    457b To Ira

    On Jan 2006 a person retired from her non-governmental employment at age 62 and decided to rollover her 457b into a traditional IRA. She then starts collecting Social Security benefits. At the end of 2006 she received a W-2 form from her employer where the rollover distribution is reflected as Earned Income under box 1 of the W-2. She files her income tax return and pays taxes on the amount of the rollover distribution. Box 11 of the W-2 did reflect the amount of the Nonqualified plan. The Social Security Administration is now saying that she does not qualify for social security benefits because she had earned income in 2006, when in reality this money was rolled over to an IRA. Should she had left the money in the 457b instead of rolling it over to an IRA? What can she do now to continue receiving social security benefits? Should the employer take the money back into the 457b plan and amend the W-2? Thank you.
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