2 401k’s – how do you rollover both with 1 rollover rule
client has two 401k’s from 2 past employers. He wants to rollover both of them into his own IRA.
How can we do this, today, with the new rule of one rollover per year?
Thank you.
Douglas
client has two 401k’s from 2 past employers. He wants to rollover both of them into his own IRA.
How can we do this, today, with the new rule of one rollover per year?
Thank you.
Douglas
Permalink Submitted by Alan - IRA critic on Fri, 2015-03-06 20:20
The one rollover limit per 12 months only applies to IRA to IRA rollovers. If a qualified employer plan is on EITHER END of the rollover, it does not count against the limit. Client can either do direct rollovers (recommended) or indirect 60 day rollovers and neither would count against the limit. Therefore, there is no problem here.