Florida Life and Health Insurance License Practice Test

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Prepare for the Florida Life and Health Insurance License Test. Study with flashcards and multiple choice questions, each with hints and explanations. Get ready for your certification exam with ease!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

How long does an individual have to "rollover" funds from an IRA or qualified plan?

30 days
45 days
60 days
90 days

The correct answer is: 60 days

It is important to understand the concept of a "rollover" when discussing IRAs and qualified plans. A rollover occurs when an individual transfers money from one plan or account to another within a specific time frame. In this case, we are talking about a rollover from an IRA or qualified plan to another IRA or qualified plan. Option A, 30 days, and option B, 45 days, are incorrect because the IRS requires that rollovers be completed within 60 days. This means that the individual must complete the process of transferring the funds from one account to another within 60 days from the time they receive the funds. Option D, 90 days, is incorrect because 90 days is outside of the allowed time frame for a rollover. Again, the individual must complete the process within 60 days for it to be considered a valid rollover. Overall, option