IRA transfer followed by another IRA transfer

Submitted by Amanda Minter on Tue, 2023-10-03 19:33

I located a forum question from 2022 in addition to my workshop handbook, and want to confirm that I am interpreting it correctly for our situation.
We went to roll an IRA from outside of our firm to our broker dealer (direct transfer from their custodian to new one).
THEN roll part of the IRA just transferred (again do a direct transfer) to an IRA at another company.
So basically an IRA to an IRA to an IRA.
It seems that if all transactions are done trustee-to-trustee direct transfer, the once-per-year rule does not apply???
Am I correct in this assumption?
Thank you!



Submitted by David Mertz on Tue, 2023-10-03 20:05

  • The limitation on rollovers does not apply because properly executed trustee-to-trustee transfers of IRAs are not rollovers and are not reportable.
  • Avoid referring to these transfers as “rolling” the IRA over.  Make sure that the originating and receiving IRA custodians refer to these as transfers and do not in any way refer to these as rollovers.

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