I have an IRA with Charles Schwab and a 403(b) ... with TIAA-CREF. Next year, 2003, I will be 70 1/2 years of age, and I must start taking money out. My question is, before I start withdrawing, would it be to my advantage to consolidate both retirement accounts and have only one withdrawal?

You may be better off consolidating all the money into an IRA. That's because an IRA generally gives you better withdrawal and investment options, said Ed Slott, a CPA in Rockville Centre, N.Y., and an authority on IRAs and retirement-savings plans.

A 403(b) plan is similar to a 401(k) plan. It's often offered by colleges, universities, elementary schools, high schools, hospitals and other such employers.

Here are a couple of reasons that an IRA might be better:

As a rule, a 403(b) plan might limit your investment choices. With an IRA, you typically have far more choices.

You might want to stretch out your retirement account - keep it intact not only for your lifetime, but also for the lives of your beneficiaries. By withdrawing only the minimum amount, you (and your beneficiaries) may let the account continue to grow, building wealth all the while. This stretch-out option may not be available with a 403(b) plan, but is available with an IRA, Slott said.

Keep in mind, however, that there are lots of other details to consider before making such a decision, too many to list here.

For example, you generally must start making minimum annual withdrawals from a 403(b) plan for the year in which you turn 70 1/2 , said Dick O'Donnell, an editor who specializes in pensions and benefits for RIA of New York, a national publisher of tax and other information for professionals.

However, if you had a balance in your 403(b) plan as of Dec. 31, 1986, a little-known rule lets you postpone required withdrawals on such pre-1987 money until you reach age 75, Slott said.

If you roll over your 403(b) into an IRA, you'll lose that feature. This may not be a big issue for you, but it's worth keeping in mind.

Another point to remember: If you continue to maintain an IRA and a 403(b) plan, you'll have to withdraw the minimum amount from each to satisfy the rules for minimum withdrawals, O'Donnell said.

Before you make a decision, consult an accountant, financial planner or other such adviser who's familiar with the rules.