Rollover IRA

Rollover you 401K into an IRA with Firstrade and make retirement investing easy!
Rollover Your IRA

What is a Rollover IRA

A Rollover IRA is a type of Individual Retirement Account that allows you to transfer funds from an employer-sponsored retirement plan, such as a 401(k) or 403(b), into a new or existing IRA without incurring taxes or penalties. With a Firstrade Rollover IRA, you can consolidate your retirement savings, not have to pay taxes, and keep adding 401(k)s and other former employer sponsored plans over time.

Why You Should Rollover Your 401K to Firstrade

  • consolidate
    Consolidate and Control Your Retirement Assets
    A self-directed broker allows you to centralize multiple 401(k) accounts, gain real-time investment control, and create a more responsive, flexible retirement strategy.
  • easeOfAccess
    Ease of Access During Job Transitions
    When changing jobs, a Rollover IRA ensures you maintain control of your retirement savings without depending on your former employer's plan.
  • taxAdvantages
    Tax Advantages
    Funds transferred to a Rollover IRA continue to grow tax-deferred and rolling over funds directly avoids early withdrawal penalties and immediate taxation.
  • consolidate
    Consolidate and Control Your Retirement Assets
    A self-directed broker allows you to centralize multiple 401(k) accounts, gain real-time investment control, and create a more responsive, flexible retirement strategy.

What Are Your Options for an Old 401(k)?

If you've left a job and still have a retirement fund in a former employer's 401(k), you have several options to manage those funds based on your financial goals. Here's what you can do:

Each option comes with different benefits and considerations. Firstrade provides the tools and resources to help you make an informed decision about your retirement savings, ensuring your money continues working toward your long-term financial future.

Things to Know

Why choose a rollover IRA?
If you have money left in a former employer's workplace savings plan, you might want to consolidate your investments into a single account.
Fees
There are no opening, closing, or annual fees for Firstrade's rollover IRA.
Investment Options
We offer a full suite of investment choices with over 11,000 mutual funds, as well as stocks ETFs, options, and bonds.
Withdrawals
  • All earnings and deductible contributions are taxable upon withdrawal
  • Penalties will be incurred if withdrawals are taken before age 59½ yrs., or if minimum withdrawals are not taken by April 1st of the year following the year age 73 yrs. is reached
  • Minimum distributions must begin at age 73 yrs.
* Subject to certain restrictions. Please consult with your tax advisor.

How to rollover a 401(k) to Firstrade

The process of doing a 401K rollover to IRA can seem daunting, but we are here to make consolidating your retirement savings easy with 3 simple steps:
rollover1

Step 1: Open a Firstrade IRA

If you don't already have a rollover IRA, you'll need to open one in order to move money from your former employer's plan into your new account. If you have both pre-tax and post-tax contributions in your 401(k), you may also need to open a Roth IRA.
Which IRA should you consider for your rollover:
  • For a pre-tax plan: Open a Traditional or Rollover IRA account
  • For a post-tax plan: Open a Roth IRA account
Open an IRA
rollover2

Step 2: Fund your account

Contact your plan provider and fill out their distribution form or initiate the process online. You may then request the transfer of your current retirement account funds using the following methods:
By Check/Direct Rollover:
Request to have a check issued and made payable to: "Firstrade Securities Inc., FBO [YOUR NAME], [YOUR ACCOUNT NUMBER]"
    Mailing address:
    Firstrade Securities Inc.
    30-50 Whitestone Expressway, Suite A301
    Flushing, NY 11354
By Wire/Direct Rollover:
  1. Request to have the funds wired into your Firstrade account
  2. Complete the IRA Deposit Slip/Adjustment Form and upload it online (login to your account, go to: Service > Form Center > Upload Document) or email a copy to service@firstrade.com
By Indirect Rollover:
  1. Request that the plan provider send you a check made payable to you.
  2. After the check is cleared in your bank account, you can fund your IRA account with your personal check. Have a check made out to "Firstrade Securities Inc" and add your name and account number on the memo line. Mail the check to Firstrade along with the 401(k) administrator letter/plan statement.
  • Mailing address:
  • Firstrade Securities Inc.
  • 30-50 Whitestone Expressway, Suite A301
  • Flushing, NY 11354
*Please note that the check amount should match the distribution amount from the plan administrator letter. Depending on your previous employer-sponsored retirement plan’s administrator, your funds can take anywhere from 5 to 20 business days to be deposited into your Firstrade IRA account.
rollover3

Step 3: Build your portfolio

After your money is deposited in your IRA, the next step is to invest it so that it can start growing over time. Get access to a full suite of investment choices with over 11,000 mutual funds, as well as stocks ETFs, options, and bonds. Choose and manage your own investments with $0 commissions and fees, or if you prefer you can review your options and call us and we can help you get invested together.

Interested in Learning More About Retirement Accounts?

Learn about the basics of retirement, from types of accounts available to taking minimum required distributions (MRDs).

Dive deeper into how these two accounts differ from each other and take control of your retirement.


FAQs