What Is a Rollover?

An IRA rollover is the movement of funds between two qualified retirement plans, such as from a 401(k) plan to an IRA, or from one IRA to another IRA. Rollovers may be subject to federal income tax unless all requirements are met (completed within 60 days and the same property is rolled over).

Rollovers typically occur when you change jobs or retire and can take 2–6 weeks to complete. Rollover rules, which became effective in 2015, now limit each taxpayer to one IRA rollover during a 12-month period. Rollovers usually take place using one of these two methods: Indirect Rollover or Direct Rollover. Learn more about rollovers at Fund My Account.

Consult your tax professional or contact us for assistance to make sure you understand and follow the rules.