Save time with our cheat sheets, fact sheets, checklists & books!

June 10, 2020

One Per Year IRA-to-IRA Rollover Rule

Share on print
Print
Share on facebook
Share on twitter
Share on pinterest
Share on linkedin

An individual who takes a distribution from a retirement account may rollover eligible amounts to the same or another retirement account. As long as the amount is eligible to be rolled over, the rollover will result in the amount being excluded from the account owner’s income.

Such a rollover must be made to an eligible retirement plan.

If the distribution is made from an IRA, an eligible retirement plan includes an IRA of the same type from which the distribution was made.  When a distribution is made from an IRA and rolled over to an IRA of the same type, the transaction is referred to as an IRA-to-IRA rollover.

An individual is eligible to perform an IRA-to-IRA rollover only once during a 12-month period.

Any rollover that breaks the one-per-year IRA-to-IRA rollover rule is an ineligible rollover, and the amount is not eligible to be excluded from income.

Written By

Denise Appleby

Denise is CEO of Appleby Retirement Consulting Inc., a firm that provides IRA resources for financial/ tax/legal professionals. She has over 20 years of experience in the retirement plans field, which includes training and technical consultation.

Denise writes and publishes educational /marketing tools for advisors; available at http://irapublications.com. Denise co-authored several books on IRAs

Denise is a graduate of The John Marshall Law School, where she obtained a Masters of Jurisprudence in Employee Benefits, and has earned 5 professional retirement designations.
She has appeared on numerous media programs, sharing her insights on retirement tax laws.

Share on facebook
Share on twitter
Share on pinterest
Share on linkedin
Share on print
More

Keep Learning

Annual Benefit Limit

Definition The annual benefit limit for defined benefit plans is the lesser of: A) 100% of the participant’s average compensation for his or her highest

Be among the first to know when

IRA Rules
Change