IRA Transfers

There are many reasons that you might consider an IRA transfer; questions to think about may include:

1. Investment Options: Are you satisfied with the number of investment options in your IRA portfolio?
2.  Performance:  Are you comfortable with the performance of your IRA portfolio?
3. Guidance and Advice:  Do you receive appropriate advice from the institution that currently holds your IRA?

The term IRA Transfer is a transfer of assets from one IRA to another IRA. An IRA Transfer from one financial institution to another via a trustee-to-trustee transfer is made tax-free.

There are basically two methods to transfer an IRA. Both methods result in a tax-free transfer of assets from one IRA to another IRA, if done properly,

1. Direct Transfer (Trustee to Trustee)
   A direct transfer is the movement of assets from one IRA directly to another IRA. With a direct transfer you never take possession of your retirement assets. Instead, the trustee/custodian will transfer your IRA assets directly to the financial institution where your IRA is held.  A direct transfer is the most streamlined of the options since it avoids the 60 day rule and the possibility of incurring taxes and penalties that can occur if the indirect transfer isn’t executed properly.  
2. Indirect Transfer (60 day rollover)
   Assets from your IRA are paid to you in the form of a check. You then have up to 60 days to reinvest the money back into an IRA. If the assets are not reinvested within 60 days then taxes and penalties will apply.
   
   You may execute only one 60 day rollover every 12 months per IRA account.
   

Let us know if we can help you with this process in any way.