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Year-end is closing in—plan ahead for deadlines

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Michelle Blog PhotoWell, we’re into the final quarter of the year and that means deadlines. For those who are planning to take withdrawals from their 403(b) or IRA account before the end of 2012, mark your calendars with appropriate deadlines for requesting withdrawals.

Lump-sum withdrawals (Request deadline: December 14, 2012)
If you are planning to take a lump-sum withdrawal from your WEA TSA Trust or WEAC IRA account before the end of 2012, your original written request form must be received (not postmarked) by us on or before December 14, 2012, in order to process by year end. If we receive your form after December 14, it will be processed the second week of January 2013. Unfortunately, we cannot accept requests via fax.

403(b) and IRA exchanges/transfers/rollovers (Request deadline: December 7, 2012)
Exchanges, transfers, and rollovers require a two-week processing time. Your completed paperwork (including approved TPA transaction authorization) will process by the end of December if we receive it by December 7, 2012. This includes requests for IRA recharacterizations and conversions.

Avoid penalties from contributing too much!
For those still contributing to a 403(b) TSA, watch your contribution limits, especially if you contribute at or near the allowable amount. It’s up to you—the participant (not your employer)—to pay attention to limits. Contribution limits for 403(b) accounts are $17,000 for 2012; however, employees age 50 and older can contribute an additional $5,500 for a total of $22,500. 

Michelle Slawny, CFP®