Transfers
Transfer your IRA. Directly, without the tax traps.
How an account moves to Investor Services — trustee to trustee, never paid to you — and what to expect leg by leg.
Key takeaways
- A direct transfer between like accounts is not a distribution: no tax, no withholding, no 60-day clock.
- A rollover is different. Indirect rollovers are paid to you, must be redeposited within 60 days, and are limited to one IRA-to-IRA per 12 months.
- Like moves to like: Traditional, SEP and SIMPLE (after two years) to Traditional; Roth to Roth; inherited accounts by transfer only, titling preserved.
- Transfers take weeks at most custodians because the paperwork moves by form and check. We track every leg and tell you what is waiting, and on whom.
- Investor Services is a directed, non-discretionary custodian; it does not give tax advice. Pre-charter: not yet accepting accounts.
The three ways money moves
A trustee-to-trustee transfer moves the account directly from your current custodian to us. You never take possession, so there is no tax, no withholding and no deadline. A direct rollover moves money from an employer plan to an IRA; the plan reports it, and it is not taxable when it is direct. An indirect (60-day) rollover pays the money to you first — the plan or custodian withholds tax, you have 60 days to redeposit the full amount, and only one indirect IRA-to-IRA rollover is allowed in any 12 months. We are designed to keep every move direct. Read the guide →
What to expect, leg by leg
An incoming transfer is a sequence of legs, and each one has a state. Authorization — you sign the transfer authorization (electronically where the delivering custodian accepts it; by wet signature or medallion guarantee where it does not). Application — we send the request to your current custodian and record when it was sent, received, or not acknowledged. Confirmation — they confirm what they will send: cash, positions, or both. Delivery — assets arrive and are credited as they clear; partial deliveries post as they land. Completion — when everything authorized has arrived or the remainder has been formally declined.
If a custodian does not respond by its expected date, a follow-up is opened automatically and you can see it. Nothing waits silently.
What we will ask you for
- A recent statement from the delivering custodian (account number, registration, holdings).
- The account type on both sides — so we can confirm the move is like-to-like before anything is sent.
- Your instruction: full or partial; cash, in kind, or both.
- For inherited accounts: the decedent’s details and your beneficiary category, so titling is preserved.
- Identity and signature — once, into your Investor Passport, so a second account never re-collects the file.
Taxes and reporting
A direct transfer produces no Form 1099-R from the delivering custodian and is not reported as a rollover contribution. A direct rollover from a plan is reported by the plan with the direct-rollover code, and we report it as a rollover contribution on Form 5498. An indirect rollover that is completed in time is reported the same way; one that is late is not a rollover at all unless it qualifies for self-certification. A Roth conversion is not a transfer — it is taxable and reported on both sides. Hard-to-value assets that move in kind carry their fair market value on Form 5498. Roth conversions →
Frequently asked questions
Is a transfer taxable?
Not when it is a direct, trustee-to-trustee transfer between like accounts. Nothing is paid to you, no Form 1099-R is issued by the delivering custodian, and it is not reported as a rollover contribution.
What is the difference between a transfer and a rollover?
A transfer moves the account directly between custodians. A rollover involves a distribution — direct from a plan to an IRA, or indirect, paid to you with 60 days to redeposit and only one indirect IRA-to-IRA rollover allowed per 12 months.
Can an inherited IRA be transferred?
Yes — by trustee-to-trustee transfer only, keeping the beneficiary titling. A non-spouse beneficiary cannot use a 60-day rollover.
Why do transfers take weeks?
ACATS automates transfers between member broker-dealers and banks; many retirement custodians and trust companies are not members, so their transfers still move by form, letter of acceptance, signature guarantee and check. We show you which leg is waiting, on whom.
Can I move assets in kind?
Where the asset is eligible for the receiving account and the delivering custodian can re-register it, yes. Hard-to-value assets carry their fair market value for Form 5498.
Investor Services acts as a directed custodian and does not provide legal or tax advice. Pre-charter: Institutional Trust Company is seeking a charter and is not currently accepting accounts.
Educational only. This page is general information, not individualized investment, legal, or tax advice. Rules depend on your account type, transaction, tax year, and circumstances — consult a qualified professional.