rollover vs direct transfer
A client completed a “rollover” from IRA #1 to IRA#2 within the last 12 months. Can he do a “direct transfer” from IRA #1 to IRA#3 within the same 12 month period?
Thanks
A client completed a “rollover” from IRA #1 to IRA#2 within the last 12 months. Can he do a “direct transfer” from IRA #1 to IRA#3 within the same 12 month period?
Thanks
Permalink Submitted by Jose Morales on Fri, 2008-12-12 01:24
There is no limit on the number of IRA to IRA transfers that an individual can complete within any given time period. Although it’s important to keep in mind that this isn’t just a semantics game. The method in which the funds move from one IRA to the other is what determines what is a Distribution and Rollover vs. what is a Transfer vs what is a Direct Rollover. You can’t simply move the funds the same exact way and call it a “Transfer” and be in the clear.