Permalink Submitted by Anonymous (not verified) on Fri, 2009-07-10 16:13
Here is probably what they meant:
Most 401K companies will not require a letter of acceptance. This means Vanguard does not need to contact them directly. Your father will probably need to fill out release forms indicating his rollover intentions. Then the 401K custodian will release the money and either:
1. Send it to the shareholder already made payable to Vanguard FBO your father. Then he would merely forward it to Vanguard with a letter or form they may have.
2. Send it to Vanguard directly, as indicated in the forms (Vanguard address, Roth account number, etc)
or
3. If a letter of acceptance is needed – fill out Vanguard’s rollover paperwork and they will need to contact them.
Bottom line, your father will need to find out how the 401K plan/custodian wants this done. They will dictate the process.
Since this is not a transfer, but a “rollover conversion”, tax forms will be generated from each side for reporting purposes.
Permalink Submitted by Anonymous (not verified) on Fri, 2009-07-10 16:13
Here is probably what they meant:
Most 401K companies will not require a letter of acceptance. This means Vanguard does not need to contact them directly. Your father will probably need to fill out release forms indicating his rollover intentions. Then the 401K custodian will release the money and either:
1. Send it to the shareholder already made payable to Vanguard FBO your father. Then he would merely forward it to Vanguard with a letter or form they may have.
2. Send it to Vanguard directly, as indicated in the forms (Vanguard address, Roth account number, etc)
or
3. If a letter of acceptance is needed – fill out Vanguard’s rollover paperwork and they will need to contact them.
Bottom line, your father will need to find out how the 401K plan/custodian wants this done. They will dictate the process.
Since this is not a transfer, but a “rollover conversion”, tax forms will be generated from each side for reporting purposes.
pmk