A simpler 403(b) rollover with Midflorida Credit Union

How much of your hospital work history can Midflorida Credit Union cover in a 403(b) rollover?

Midflorida Credit Union reviews the old hospital accounts you can move and records where each pre-tax and Roth balance belongs. For Bev, a hypothetical 58-year-old ICU charge nurse with 4 accounts from 3 hospitals and about $620K, that meant separating her current employer account from 3 former-employer accounts.

The work is more than transferring a balance. We list each account, its custodian, its fund and contract costs, and whether it can move at all. A current hospital 403(b) usually stays put while you still work there. Pre-tax money and Roth 403(b) money also need separate destinations, with Roth dollars going to a Roth IRA.

Older annuity-style 403(b) contracts can carry surrender schedules. We also check whether the current hospital plan accepts roll-ins and whether beneficiary forms need to be filed again at the new custodian. Bev’s roadmap gave every account one line, so she could explain the choices to her 2 adult kids.

This is often worth reviewing when you are 10–15 years from retirement and have 2 or more old plans. A 1% fee gap on $300K is $3,000 annually, or about $36K over 12 years before growth.

A good rollover answer, from any firm

Bev did not need someone to say “move everything” after one look at her balances. A useful answer names each account and gives a reason it stays or moves. It raises the IRS Rule of 55, any surrender charge, and the dollar cost in taxes of any possible Roth step, all before you decide. A weak answer sends every dollar to one IRA before anyone reads the statements. Midflorida Credit Union reads them first.

How does a rollover tie into the pension lump sum and your retirement paycheck?

If Bev chooses a $180K pension lump sum instead of about $1,100 monthly, a direct rollover could place it with old 401(k) money in one IRA, without adding another account. Account consolidation is the broader cleanup of every account. Retirement income planning later decides which account pays her retirement paycheck. The pension choice needs its own review and should not be decided on this page.

What age makes a rollover worth doing now?

Age 55 can make a rollover urgent because the IRS Rule of 55 may allow penalty-free draws from the hospital plan after you leave, while moving that money to an IRA too early can remove that option. Ages 60–63 also matter because higher current-plan catch-up contributions are available while you are still working.

For Bev, a job change, a vendor notice, or a frozen old plan would each trigger a review. Leaving a hospital during or after the year she turns 55 means she keeps enough money in that employer’s plan for spending before age 59½. A fund-lineup change notice means we compare the new choices and costs. A vendor switch means we check the blackout period and paperwork before assets are moved.

The IRS 2026 employee deferral limit is $24,500. From ages 60–63, Bev may add an $11,250 higher catch-up, for $35,750 total in her current 403(b). Rolling old accounts does not change that limit, so her current 403(b) can remain open while she works.

Bev wanted all 4 accounts reduced this year, and first picked an old 403(b) annuity contract worth $160K (hypothetical, round numbers). Its 1.25% annual cost looked high beside an IRA with index funds costing 0.15%. The difference is 1.10%, so $160K × 0.011 = $1,760 annually saved. But the contract had a 5% surrender charge for 2 more years: $160K × 0.05 = $8,000. Waiting costs $1,760 × 2 = $3,520 in extra fees. Moving now leaves her $8,000 − $3,520 = $4,480 worse off, before growth. Account values can fall below what you put in, so lower stated fund costs do not predict an investment result.

The fix was simple. She rolled 2 old 401(k)s into 1 IRA now, kept the annuity contract, and put its charge-free date on her roadmap. Midflorida Credit Union would also flag a different timing error: rolling a 403(b) into an IRA at age 56 can lose the Rule of 55. A $30K IRA draw before 59½ could add a $3,000 penalty, plus income tax, where the old 403(b) may not have charged that penalty.

The years before 59½

A $4,480 timing cost

Limits of a rollover, and when a CPA or attorney comes first

A rollover does not lower the tax bill on pre-tax money or change when required minimum distributions begin. The IRS says RMDs generally start at age 73, or age 75 for people born in 1960 or later, whether money sits in an IRA or a 403(b).

Call a CPA if an old plan has after-tax contributions or you are considering a Roth conversion. A conversion is ordinary income in the year it happens. Call an estate or family attorney if a divorce QDRO split an old 401(k), or if a trust may be named as beneficiary. Bev is divorced, so all 4 beneficiary forms get checked.

Leaving an account alone is sometimes the right call. If your only old plan holds low-cost index funds and has no surrender charge, there may be no reason to move it. Midflorida Credit Union puts that conclusion in the roadmap.

What to bring to a Midflorida Credit Union rollover review

A Midflorida Credit Union rollover review covers 3 questions: what you own, what can move without a charge or penalty, and what order fits your retirement date. The conversation is held by video or telephone, and you can begin through the request form.

Bring the latest statement for every 403(b), 401(k), and IRA. Add any contract page showing a surrender schedule, your pension estimate letter, current beneficiary forms, and last year’s tax return. The return helps a CPA estimate the tax bill if a Roth step is under consideration.

Midflorida Credit Union has a $500K investable-asset minimum. You get the cost for your own accounts on paper, and you see it before you commit to any work. Midflorida Credit Union serves 535,000 clients with $5.8 billion in client assets, as of 10/19/2026.