Idle Simple IRA Suggestions | TigerDroppings.com

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4LSU2
LSU Fan
Madisonville
Member since Dec 2009
21678 posts
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Idle Simple IRA Suggestions


I've got an idle simple IRA that I had with my existing company since 2010. We moved to a 401k at the start of 2011 and this IRA has been idle since then. I started with the company at the start of 2010 and could contribute into the IRA six months in.

Anyway... I got a statement today that said I have close to 5k in the account. I haven't contributed in three years, but still earned almost $800 in 2013.

What can I do with this IRA to start contributing again with the sole purpose of using the 5k there as a college fund for my 11 month old son? I would move another 2 grand or so from savings and the plan would be to contribute at least $150 per month into this fund. I want something I can pull money out of in 17 years when he is ready for college.







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4LSU2
LSU Fan
Madisonville
Member since Dec 2009
21678 posts
 Online 

re: Idle Simple IRA Suggestions


Thanks for the input guys. I will probably just do that.





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TigerRob20
LSU Fan
Baton Rouge
Member since Nov 2008
1641 posts

re: Idle Simple IRA Suggestions


Doesn't sound like you can do much.

LINK

If I were you, I'd talk to my CPA about this. The easiest thing to do, and maybe the most beneficial for the future would be to cash it out and transfer to a 529 plan.



This post was edited on 1/8 at 7:40 am


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4LSU2
LSU Fan
Madisonville
Member since Dec 2009
21678 posts
 Online 

re: Idle Simple IRA Suggestions


That sucks to hear. I appreciate the link and help nonetheless.





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Specktricity
LSU Fan
Lafayette
Member since May 2011
806 posts

re: Idle Simple IRA Suggestions


I am in a similar situation, and it is my belief that you can rollover a simple IRA to a 401k as long as you have participated in the simple for 2 years. Now, in your situation I am not sure whether or not contributing for 2 years would be required to be considered participating in the plan. I would ask a CPA.
LINK






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Broke
LSU Fan
AKA Buttercup
Member since Sep 2006
55628 posts

re: Idle Simple IRA Suggestions


Roll it into a traditional IRA and use it.





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