Rollover from one IRA to another

**kork13** · 03-31-2020, 12:23 PM

Bottom line: Yes, you can.

Just be sure that the current company does not withhold taxes, penalties, or anything else. Some companies will do that automatically on distributions, and you need to ensure that the new account receives the exact amount (to the cent) that was originally in the previous account. You also have to ensure it's redeposited within 60 days.

That side of it is a little more annoying, and while you'll still have some paperwork to do, it's not as much or as painful. We did this process for my wife shortly after we got married, because she was in a high-fee IRA that her (well-intentioned but nevertheless salesman) father set her up with. We just got the check, did some minor paperwork (no stamps/seals/notary/etc. necessary), sent it into Vanguard, and that was that.

**disneysteve** · 03-31-2020, 12:29 PM

If they do withhold taxes, as kork said, you need to make up the difference (it won't be much on a $300 account) and deposit the full amount in the new account. Then you'll get that money back when you file taxes next year.

**Like2Plan** · 03-31-2020, 12:33 PM

Originally posted by ua_guy View Post

I've got $300 in one IRA that I need to roll over into another. The online paperwork is a mess.

Is it permissible to just request a distribution, cash the check, and then write one as a deposit to my main IRA that I have through an entirely different company?

If you do this, remember that you are only allowed one 60-dayrollover per year.

Rollovers of retirement plan and IRA distributions | Internal Revenue Service

https://www.irs.gov/retirement-plans/plan-participant-employee/rollovers-of-retirement-plan-and-ira-distributions

Find out how and when to roll over your retirement plan or IRA to another retirement plan or IRA. Review a chart of allowable rollover transactions.

**kork13** · 03-31-2020, 01:11 PM

Originally posted by Like2Plan View Post

If you do this, remember that you are only allowed one 60-dayrollover per year.
https://www.irs.gov/retirement-plans...-distributions

I never knew that -- thanks! Interesting set of restrictions.

**ua_guy** · 03-31-2020, 02:07 PM

This is so stupid. This is money that I earned through a Davis-Bacon pension working construction on public projects that I did for a short while. The company holding the money required me to roll it over to an IRA when I was no longer on those projects. This sheister little company (BPAS) wants to charge a monthly account service fee and now they want to charge me $75 for a distribution.

Does anyone know of a way I can skirt that $75 fee? It's a matter of principal, a pissing match if you will. Would Fidelity be able to transfer it out of that account without them charging? I could leave $0.01 in there and tell them to go to hell.

Ideas? Thoughts?

**kork13** · 03-31-2020, 02:19 PM

Originally posted by ua_guy View Post

I could leave $0.01 in there and tell them to go to hell.

While I love that idea.... They'll probably still charge you the fee for pulling out anything at all. Have you asked if there are any circumstances under which they don't charge the fee?

**Thrif-t** · 03-31-2020, 03:02 PM

I don't think you can get out of the fee ua_guy it's a junk fee, as Clark Howard would say.

My DD is a contractor for a company that uses Wells Fargo for their 401k and they have all kinds of junk fee's and the $75 fee to roll your money out. I had her open her own ROTH IRA at Schwab to invest in until she gets hired by the company she is working for and has access to a better 401k. I think it's ridicules you have to pay to get "your" money out!

Rollover from one IRA to another