Retirement accounts: In the Feb. 18 Business section, a Money Talk column said that individual retirement accounts are protected from creditors in bankruptcy filings up to $1,283,025, even if the money was rolled over from a 401(k) or other workplace retirement plan that offers unlimited protection from creditors. In fact, although IRAs' protection from creditors in bankruptcy filings is typically limited to $1,283,025, money transferred from a 401(k) or other workplace retirement plan to an individual retirement account has unlimited protection from creditors in bankruptcy. In nonbankruptcy situations, the creditor protection afforded IRAs varies by state.
If you believe that we have made an error, or you have questions about The Times’ journalistic standards and practices, you may contact Deirdre Edgar, readers’ representative, by email at firstname.lastname@example.org, by phone at (877) 554-4000, by fax at (213) 237-3535 or by mail at 202 W. 1st St., Los Angeles, CA 90012. The readers’ representative office is online at latimes.com/readersrep.