Transfer and Rollover Fees
An IRA provider may charge fees when money is being put into a new IRA or taken out of an old IRA or 401(k). Here are a few types of fees to look out for when choosing your IRA provider based on fee structures.
Wire Fees
Transferring money by wire will usually result in a fee charged on both ends, by the sending and receiving institution. Understand your custodians' fee schedules.
Custodial Fees
Custodial fees are usually a type of account maintenance fee. Your IRA custodian may charge them monthly or annually.
Fees to Rollover a 401(k)
In most cases, there are fees charged for transferring your 401(k) to a newly opened, tax-advantaged retirement account with a different IRA custodian.
What Determines These Fees?
The IRS does not determine rollover or transfer fees. Instead, this is determined by your IRA provider. That’s why selecting the right rollover IRA provider is essential to keep fees minimal. Overall, your IRA provider should support you by providing reduced fees and supporting your financial growth.
