Chartered Retirement Planning Counselor (CRPC) Practice Exam 2026 - Free CRPC Practice Questions and Study Guide

When transitioning to a new employer, an individual with an IRA has specific options regarding the rollover of their retirement funds. One allowable option is to roll over the IRA into another IRA. This can help maintain the tax-advantaged status of the retirement savings, as funds transferred in this way do not incur taxes or penalties.

Additionally, an individual could roll funds into a TSA (Tax-Sheltered Annuity), which is often used by employees of certain organizations, such as schools or non-profits. These accounts allow for tax-deferred growth similar to that of an IRA.

Selecting another IRA or a TSA is a strategy that allows continuity in retirement savings and can facilitate the management of investments. This approach helps in maintaining the tax benefits associated with retirement accounts.

Other options, such as moving the IRA into a general savings account or a mutual fund, would not offer the same tax advantages or keep the funds in a qualified retirement account, which could lead to taxation and potential penalties. Likewise, while rolling into a new employer's 401(k) plan is an option, the question specifically addresses the rollover from an IRA. Thus, the most accurate and advantageous option as described aligns with rolling into another IRA or a TSA.