12 month rule for IRA transfers - Help

[SuccessfulAmerican]

I am a user of Turbotax since it was first released.  I didn't have a clue about the 12 month rule and when I read it, it leaves me in the dark.

My 403B went into an IRA CD for 36 months. When that ended I moved to an IRA Savings account at the same credit union earning nothing and waiting for some miracle to earn interest again to come along.  It never did so I moved it to Schwab and planned on investing in Bonds.  Not a dime was withdrawn from this money at any time.  

After months of study and analysis of corporate bonds, I came to the conclusion that the risks related to earning 6% were not worth it when I can buy an Annuity Contract for 5.5% for ten years.  Now I read there is a rule that I cannot transfer the money more than once in 12 months?   I want to buy the annuities, but now I am concerned that I will trigger some tax event.

The other thing I did that compounds this problem is I moved a second 403B (for a different employer) I had into this same Schwab IRA a week ago.  That was 403B to Traditional IRA so I am hoping that is not considered a transfer.  If it is, then I am really up the creek.

I am 65 and retired and need income now so I am in a jam and any help would be greatly appreciated.

[AmeliesUncle · Accepted solution]

Direct rollovers are fine (your prior IRA company sends it directly to the new IRA company).

Indirect rollovers (you receive the money, then put it into another retirement account) are limited to one every 12 months.

[rayking4]

Thank you sir.