I have about $25000 in mutual fund ira. Am already retired. Should I transfer money to insured account?

Answer 1

Why?

The gains on your IRA are tax free or tax defered. If you transfer it to a bank account and it is a traditional IRA, it is taxable income. Add $25,000 to your current income, and see what tax bracket you will have.

If it is a Traditional IRA and therefore taxable, I would put it in a fund that pays large dividends and have the dividends paid out to you directly, as the taxes on dividends have been lowered. Check with a tax expert though.

Answer 2

First off, your mutual fund IRA should already be insured.

IF for some reason it is not, you can always move your IRA to a brokerage firm where your assets there ARE insured IF for some reason they are not now. That way you don't incur any changes to your tax position.

Hope that helps!

Answer 3

if all you are worried about is safety you can pick a money market fund if you want, but just stick with a nice mutual fund

hard to say really without knowing the rest of your situation, is this all your retirement money?

EDIT: yada, mutual funds are NOT insured

Answer 4

If i where you i would because what could happen.