Personal Rollover IRA

If you’ve recently changed jobs or retired and would like to protect the balance in your previous employer’s retirement plan, Frost’s Rollover IRA is for you.

  • eligible distributions from an employer-sponsored retirement plan can be directly funded into a Rollover IRA
  • direct rollover avoids 20% withholding requirement on distributions from employer-sponsored plans
  • full protection from bankruptcy
Deadline to Set Up/Contribute

A Rollover IRA can be set up at any time to receive assets from an employer sponsored retirement plan. An individual generally has 60 days from the date he or she receives an indirect rollover distribution directly from the plan to contribute the assets to a Rollover IRA. However, a direct rollover distribution from the retirement plan to Frost can be requested and completed without a time limit.

Eligibility Requirements

To contribute to a Rollover IRA in the tax year 2019, you must be under the age 70 ½. Beginning with the tax year 2020, anyone with earned income is able to contribute to their Rollover IRA. A non-working spouse may also be able to contribute if certain conditions are met.

Contribution Deadline and Limits

The maximum annual contribution to a Rollover IRA is the lesser of $6,000 for tax year 2020 or 100% of compensation. For those individuals who are 50 or older at the end of the tax year, an additional annual “catch-up” contribution of $1,000 may be made. Consult a Frost wealth advisor for more details.