Is There An Easy Way To Split Up An IRA?

Jack11
  |     |   137 posts since 2019

My IRA has always been at my broker and with their ratees at effectively zero and a local CU that pays 2%, I wanted to look into it. What are the limitations & so forth. I know its not something I can transfer back & forth a lot but is it once a year or that exactly? And how does it work for practical reasons? I have many accounts linked with my broker but none for the IRA.

My cash % in the IRA is 36.4% so I would probably keep 10-15% or so in the brokerage account but if we have a crash, Id want to be able to get the money back to the brokerage.

I am retired but under 60 so I feel comfortable with 63.6% in stocks, but Id go 100% if it did not coincide with something impossible to predict or measure in terms of affects to businesses like covid.



Answers
Jack11
  |     |   137 posts since 2019
Sounds like there is no limit for trustee to trustee transfers. But are there fees?

IRA one-rollover-per-year rule
You generally cannot make more than one rollover from the same IRA within a 1-year period. You also cannot make a rollover during this 1-year period from the IRA to which the distribution was rolled over.

Beginning after January 1, 2015, you can make only one rollover from an IRA to another (or the same) IRA in any 12-month period, regardless of the number of IRAs you own.

The one-per year limit does not apply to:

rollovers from traditional IRAs to Roth IRAs (conversions)
trustee-to-trustee transfers to another IRA
IRA-to-plan rollovers
plan-to-IRA rollovers
plan-to-plan rollovers
Jack11
  |     |   137 posts since 2019
No fees from my broker who said they can push and pull it. Too late to find out if my credit union charges any fees in or out.
Ally6770
  |     |   2,898 posts since 2010
There are no fees if upon moving from the credit union the check is made out to the new institution for the benefit of you as a traditional or Roth IRA etc. and the check is given to you and you give it or mail it to the new institution. I have done it many times. If they charge for closing the IRA then leave a dollar in it and have it transferred a week later and there will not be enough money to charge you. A credit union employee actually told me how to do this and I have done it with several who tried to charge me.
me1004
  |     |   949 posts since 2010
The trustee-to-trustee rtransfer is the best way to doit, it is clean and definitive. It takes time, thohg, so you will not avoid any crash if you want until one starts. Crashes tend to be fast and furious up front, all lost in maybe just a couple-few days. Trustee-to-trustee rollover can take weeks. But even if you do it yourself, it will take time to start a new IRA account, and you better know all the detials of how to do it.
Jack11
  |     |   137 posts since 2019
ACAT transfers take no more than 5-6 days and maybe faster


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