Barron's 4.5 Stars 2014 Open an Account Button Contact Us Login Log In Log into
 

How to Switch your IRA Account to Place Trade: IRA Transfer Methods

Client/Customer Types     IRA Types     Base Currency     FAQs     Account Types     Trading Configuration


 

IRA FAQs

Retirement Plan Rollover Chart

Rollover your 401(k)  

Cashing out your 401(k)?

Tax Reporting

Retirement Planning

 
 

 

Transfer your IRA or Old 401(k) today!

 
   
     
 

 

How can I move my Traditional or Roth IRA Retirement Account to Place Trade?

 

IRA Transfer Methods

Transfer methods describe the way an IRA account is funded. All of the following transfer methods are cash transactions, and Trustee-to-Trustee transfers can also use an ACATS position transfer in Account Management.

Contribution: The dollar amount of assets you are contributing to an IRA account, subject to certain limits based upon your age and the year of the contribution. Contributions are reported to the Internal Revenue Service (IRS).

Rollover: A transfer of funds from an IRA account with another trustee/custodian, within 60 days following a distribution, to an IRA account at PT. Rollovers are required to be reported to the IRS. IRA account types must be the same in order to rollover assets, for example, if the originating account is a Roth IRA, your account must also be a Roth IRA.

Direct Rollover: A transfer of funds from a qualified plan (pension, 401(k) or other qualified retirement plans) with an employer to a PT IRA account. In a Direct Rollover, the trustee/custodian of your employer qualified plan (401(k) or pension) transfers your retirement assets directly to us. In general, no withholding tax or penalties apply to a Direct Rollover, however, Direct Rollovers are reported to the IRS.

Trustee-to-Trustee: A transfer of funds from an IRA account held with another trustee/custodian to an IRA account at PT, where the assets are transferred directly trustee/custodian to trustee/custodian, with no distribution of assets to you. ACATs position transfers are available, however, the IRA account type and Tax ID must match in order to execute the transfer. Trustee-to-trustee transfers are not required to be reported to the IRS. Refer to the Tax Reporting page on our website for information on IRS forms you will receive when transferring retirement plan assets.

 

Please review the following table below for a list of all available IRA types and applicable transfer methods:

 

 
     
 
     
 

  How should I transfer my IRA Retirement Account?


   

IRA Type

Description

 

Applicable Transfer Method

 

 

Traditional IRA

 

 

A retirement savings plan that allows an individual taxpayer to contribute earnings until they are withdrawn.

Contributions are subject to annual limits depending on the age of the account owner and may or may not be deductible depending on the individual’s circumstances.
 

Earnings accumulate tax-deferred until distributed to you at which time the earnings are subject to tax upon withdrawal. A spouse may contribute to a separate account subject to the same limits.
 

Withdrawals made prior to age 59½ are subject to a 10% penalty unless certain special circumstances apply. Distributions must begin by the account owner’s required beginning date (RBD), which is April 1 following the year you turn age 70½. Once you reach age 70½, you must withdraw at least a minimum amount – an annual Required Minimum Distribution (RMD) - by December 31 of each year. If an account owner fails to withdraw the full amount of the RMD annually or fails to withdraw the RMD, there is a 50% tax penalty on the amount not withdrawn.

 


 

  • Contribution
  • Rollover
  • Direct Rollover
  • Trustee-to-Trustee
  • IRA Conversion

Traditional IRA Rollover

 

  A traditional IRA account that receives assets directly from an employer-sponsored plan such as a 401(k) or pension plan within 60 days of distribution from the plan. As long as no other assets are contributed to the Traditional Rollover IRA, the monies may be rolled over into a new employer's plan. A traditional rollover IRA is commonly used if you are changing jobs or retiring.     

   

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

 

Traditional Inherited IRA

 

  An IRA account you may set up as the beneficiary of a Traditional IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

Roth IRA

 

  A retirement savings plan that allows an individual taxpayer to contribute earnings, subject to certain income limits. Earnings accumulate tax-free and contributions are nondeductible. Unlike Traditional IRAs, a Roth IRA account owner may continue to contribute after age 70½ if they have earned income. Withdrawals prior to age 59½ are subject to a 10% penalty unless special circumstances apply. There are no age requirements when an account owner must begin taking distributions. Contributions are subject to annual limits depending on the age of the account owner.   

 

  • Trustee-to-Trustee
     
Roth Inherited IRA
  An IRA account you may set up as the beneficiary of a Roth IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Recharacterization

 

Simplified Employee Pension (SEP) IRA

 

  A tax-deferred retirement plan for small businesses and self-employed individuals where an employee can set aside a percentage of pre-tax income into the plan. Annual contributions an employer makes to an employee's SEP-IRA cannot exceed the lesser of 25% of compensation, or $53,000 for 2015 and $53,000 for 2016. The same limits apply to contributions made to a self-employed individual's SEP-IRA. There is 100% vesting of all plan contributions. Distributions generally follow the same rules that apply to IRAs.  

  • Trustee-to-Trustee
Simplified Employee Pension (SEP) Inherited IRA
  An IRA account you may set up as the beneficiary of a SEP IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

Other Retirement Accounts:

 

 

 

 

 

 

Please note that the following retirement accounts may also be available through either an may Investment Trust Accounts or held fund direct with a mutual fund investment company:

 

 

 

  May be held at either:

  • Investment Trust Account

or

  • Held Direct via Investment Company (in Mutual Funds with no other individual securities traded)

  Available Conversion Types:

  • This will depend on the particular account type that you choose and where it is currently being held as well as where the new account will be held. Please contact us at 919-719-7200 for more information. 

 

 

 

 

 
IRS Circular 230 Notice: These statements are provided for information purposes only, are not intended to constitute tax advice which may be relied upon to avoid penalties under any federal, state, local or other tax statutes or regulations, and do not resolve any tax issues in your favor.
 

 

 

 

Please call us at 919-719-7200 for assistance with any of your retirement planning needs today!

 
 
 
 
 
 

How to Switch your IRA Account to Place Trade: IRA Transfer Methods

Client/Customer Types     IRA Types     Base Currency     FAQs     Account Types     Trading Configuration


 

IRA FAQs

Retirement Plan Rollover Chart

Rollover your 401(k)  

Cashing out your 401(k)?

Tax Reporting

Retirement Planning

 
 

 

Transfer your IRA or Old 401(k) today!

 
   
     
 

 

How can I move my IRA Retirement Account to Place Trade?

 

IRA Transfer Methods

Transfer methods describe the way an IRA account is funded. All of the following transfer methods are cash transactions, and Trustee-to-Trustee transfers can also use an ACATS position transfer in Account Management.

Contribution: The dollar amount of assets you are contributing to an IRA account, subject to certain limits based upon your age and the year of the contribution. Contributions are reported to the Internal Revenue Service (IRS).

Rollover: A transfer of funds from an IRA account with another trustee/custodian, within 60 days following a distribution, to an IRA account at PT. Rollovers are required to be reported to the IRS. IRA account types must be the same in order to rollover assets, for example, if the originating account is a Roth IRA, your account must also be a Roth IRA.

Direct Rollover: A transfer of funds from a qualified plan (pension, 401(k) or other qualified retirement plans) with an employer to a PT IRA account. In a Direct Rollover, the trustee/custodian of your employer qualified plan (401(k) or pension) transfers your retirement assets directly to us. In general, no withholding tax or penalties apply to a Direct Rollover, however, Direct Rollovers are reported to the IRS.

Trustee-to-Trustee: A transfer of funds from an IRA account held with another trustee/custodian to an IRA account at PT, where the assets are transferred directly trustee/custodian to trustee/custodian, with no distribution of assets to you. ACATs position transfers are available, however, the IRA account type and Tax ID must match in order to execute the transfer. Trustee-to-trustee transfers are not required to be reported to the IRS. Refer to the Tax Reporting page on our website for information on IRS forms you will receive when transferring retirement plan assets.

 

Please review the following table below for a list of all available IRA types and applicable transfer methods:

 

 
     
 
     
 

  How should I transfer my IRA Retirement Account?


   

IRA Type

Description

 

Applicable Transfer Method

 

 

Traditional IRA

 

 

A retirement savings plan that allows an individual taxpayer to contribute earnings until they are withdrawn.

Contributions are subject to annual limits depending on the age of the account owner and may or may not be deductible depending on the individual’s circumstances.
 

Earnings accumulate tax-deferred until distributed to you at which time the earnings are subject to tax upon withdrawal. A spouse may contribute to a separate account subject to the same limits.
 

Withdrawals made prior to age 59½ are subject to a 10% penalty unless certain special circumstances apply. Distributions must begin by the account owner’s required beginning date (RBD), which is April 1 following the year you turn age 70½. Once you reach age 70½, you must withdraw at least a minimum amount – an annual Required Minimum Distribution (RMD) - by December 31 of each year. If an account owner fails to withdraw the full amount of the RMD annually or fails to withdraw the RMD, there is a 50% tax penalty on the amount not withdrawn.

 


 

  • Contribution
  • Rollover
  • Direct Rollover
  • Trustee-to-Trustee
  • IRA Conversion

Traditional IRA Rollover

 

  A traditional IRA account that receives assets directly from an employer-sponsored plan such as a 401(k) or pension plan within 60 days of distribution from the plan. As long as no other assets are contributed to the Traditional Rollover IRA, the monies may be rolled over into a new employer's plan. A traditional rollover IRA is commonly used if you are changing jobs or retiring.     

   

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

 

Traditional Inherited IRA

 

  An IRA account you may set up as the beneficiary of a Traditional IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

Roth IRA

 

  A retirement savings plan that allows an individual taxpayer to contribute earnings, subject to certain income limits. Earnings accumulate tax-free and contributions are nondeductible. Unlike Traditional IRAs, a Roth IRA account owner may continue to contribute after age 70½ if they have earned income. Withdrawals prior to age 59½ are subject to a 10% penalty unless special circumstances apply. There are no age requirements when an account owner must begin taking distributions. Contributions are subject to annual limits depending on the age of the account owner.   

 

  • Trustee-to-Trustee
     
Roth Inherited IRA
  An IRA account you may set up as the beneficiary of a Roth IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Recharacterization

 

Simplified Employee Pension (SEP) IRA

 

  A tax-deferred retirement plan for small businesses and self-employed individuals where an employee can set aside a percentage of pre-tax income into the plan. Annual contributions an employer makes to an employee's SEP-IRA cannot exceed the lesser of 25% of compensation, or $53,000 for 2015 and $53,000 for 2016. The same limits apply to contributions made to a self-employed individual's SEP-IRA. There is 100% vesting of all plan contributions. Distributions generally follow the same rules that apply to IRAs.  

  • Trustee-to-Trustee
Simplified Employee Pension (SEP) Inherited IRA
  An IRA account you may set up as the beneficiary of a SEP IRA you inherited from a spouse or other IRA account owner who has died, to receive a transfer of beneficiary IRA assets.  

 

  • Contribution
  • Rollover
  • Trustee-to-Trustee
  • IRA Conversion

 

Other Retirement Accounts:

 

 

 

 

 

 

Please note that the following retirement accounts may also be available through either an may Investment Trust Accounts or held fund direct with a mutual fund investment company:

 

 

 

  May be held at either:

  • Investment Trust Account

or

  • Held Direct via Investment Company (in Mutual Funds with no other individual securities traded)

  Available Conversion Types:

  • This will depend on the particular account type that you choose and where it is currently being held as well as where the new account will be held. Please contact us at 919-719-7200 for more information. 

 

 

 

 

 
IRS Circular 230 Notice: These statements are provided for information purposes only, are not intended to constitute tax advice which may be relied upon to avoid penalties under any federal, state, local or other tax statutes or regulations, and do not resolve any tax issues in your favor.
 

 

 

 

Please call us at 919-719-7200 for assistance with any of your retirement planning needs today!

 
 
 
 
 

s5box


Learn more about retirement planning by visiting some of the links below:

Roth IRA

SEP IRA

SIMPLE IRA

Traditional IRA

Qualified Plans

Rollover IRAs

Find out how Place Trade can help you get the most out of your college planning by visiting some of the links below:


Coverdell ESA

529 College Savings Plans

UGMA/UTMA Accounts