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Rollovers & Transfers

Moving Your Assets To Saturna

As someone who already knows the value of setting aside money for retirement, you may be interested in finding out how easy it is to move your IRA to Saturna where you can take advantage of benefits like investment flexibility, competitive pricing, and easy account access.

4 Easy Steps For A Successful Rollover/Transfer:

  1. Complete the IRA Application to establish your Saturna account.
  2. Complete the IRA Rollovers & Transfers portion of the IRA application.
  3. Complete any forms your current custodian firm may require.
  4. Send completed forms to Saturna (be sure to include a copy of your most recent account statement) except the form for your current custodian, which should be sent to them.

Rollover IRA

In a rollover, you take control of your retirement assets (from a previous IRA, 401(k) or employer-sponsored plan) in the form of a cash withdrawal before transferring them to an IRA. The custodian firm currently holding your account and distributing your assets must withhold 10% of your distribution, unless you indicate otherwise. Generally, if you intend to roll over the distribution to another IRA within 60 days, you should ask the distributing custodian to waive this withholding. Any amount distributed from the account and not rolled over will be considered taxable income.

Once your previous custodian has distributed your assets, you must deposit the full value of the assets into your new IRA within 60 days. Any assets not deposited in an IRA after 60 days will be subject to ordinary income tax, and, if you are 59½ or younger, a 10% penalty tax.

After completing your rollover, you must report the transaction on IRS Form 1040 of your personal income tax return. You may not deduct your rollover contribution from your taxes.

Finally, the distributing custodian will issue you the IRS Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc., to assist you in preparing your tax return.

Direct Rollover

A direct rollover involves your previous firm sending your retirement assets directly to Saturna. Unlike the previous example, you do not receive or handle the assets; Saturna receives them instead.

Direct Transfer

A direct transfer allows you to move your IRA assets directly to Saturna from your current custodian. The advantages of a direct transfer include no tax liabilities on the transfer and no tax reporting requirements.

It is important to remember when transferring your assets directly that your information on your IRA registration at Saturna must exactly match the information given your current IRA or retirement plan custodian.

Direct transfers of non-Saturna mutual funds, stocks, or bonds require a Saturna Brokerage account.

Current Custodian

Many firms require their own forms to be filled out in addition to Saturna's. It is a good idea to contact your current firm to learn their requirements for distributions or transfers.

Note: Rollovers from a Traditional IRA, 401(k) or retirement plan into a Roth IRA are subject to the same rules as converting a Traditional IRA to a Roth IRA. For more information on converting from a Traditional to a Roth IRA, visit our main IRA page.